According to Coincu, Tether has released its Q4 2023 financial report, revealing a net profit of $2.85 billion. Approximately $1 billion of this profit came from net operating profits, primarily from interest earned on U.S. Treasuries, while the remainder was attributed to the appreciation of Gold and Bitcoin reserves. The company's excess reserves reached a peak of $5.4 billion, marking a significant $2.2 billion increase.
Tether strategically invested an additional $640 million in various projects, including mining, AI infrastructure, and P2P telecommunications. These investments are securely housed within a segregated VC umbrella to ensure no impact on token reserves. The company also addressed community concerns by fully covering outstanding secured loans, totaling $4.8 billion, with undistributed accumulated profits known as excess reserves. The net profit for the entire year amounted to $6.2 billion, with approximately $4 billion generated from net operating profits related to U.S. Treasuries, Reverse Repo, and Money market funds.
Tether's diverse asset classes, including Gold, Bitcoin, and other investments, contributed positively to its financial performance. The group reached new heights in direct and indirect ownership of U.S. Treasuries, with an exposure of $80.3 billion. As part of its commitment to transparency and stability, Tether issued tokens backed by Cash and Cash Equivalent, maintaining an impressive 90% liquidity within the stablecoin ecosystem. The achievement of Tether's goal to eliminate the risk of secured loans from token reserves reflects its dedication to addressing community concerns and ensuring financial stability.