Tether’s excess reserves have surpassed $7 billion. The company issued USDT, the second-largest stablecoin, last year, which is notable for its size. Bitcoin is trading at $105,800.
Tether, which has been the center of controversy for years as the world’s largest stablecoin, continues to exist despite all the difficulties. Although some investors have been unnecessarily panicking due to the European Union ban in the past weeks, Tether has continued to survive. Since most of the short-term panic and fear is based on controversy, this situation is temporary.
Tether announced the reserve verification conducted by the world-renowned auditing firm BDO. As of today, this report is available on Tether's official website. With the extraordinary performance for 2024, annual net income exceeded $13 billion in the last quarter, recording the highest earnings period of all time. The company's equity capital increased to over $20 billion, while investments increased in emerging sectors such as renewable energy, Bitcoin mining, artificial intelligence, telecommunications and education. In addition, the last quarter of 2024 was notable for the US Treasury bond assets breaking a new record of $113 billion.
While the size of the bonds in the reserves of many countries lags behind Tether, the company's excess reserves exceeded $ 7 billion. The annual excess reserve increase was 36%. This means that Tether holds more reserves with 1: 1 support and more reserves than the assets it issues. In the last quarter, the circulating USDT supply increased by $ 23 billion, meaning more liquidity entering the markets. Although there was no immediate effect on altcoin prices, the increase in USDT demand is a significant development. The total USDT issuance throughout 2024 increased by $ 45 billion, reaching a size close to the total value of the second largest stablecoin.
Tether also felt the performance of its gold and Bitcoin holdings, which have provided about $5 billion in unrealized profits through 2024, was supported by Treasury bonds and repurchase agreements, which contributed $7 billion, while the company’s other traditional investments contributed $1 billion.
Tether International SA de C.V. now holds a stablecoin issuer and Digital Asset Service Provider (DASP) license in El Salvador, a move that strengthens Tether’s mission to promote financial inclusion and innovation around the world.
Tether’s total assets currently stand at $157.6 billion. Its total reserve liability for USDT tokens in circulation is $137.6 billion. Its total reserves held for USDT in circulation are $143.7 billion.
Tether CEO Paolo Ardoino stated:
“Tether’s Q4 2024 certification further strengthens our position as a global leader in financial transparency, liquidity, and innovation. With US Treasury assets exceeding $113 billion, excess reserves exceeding $7 billion, and new token issuance of $45 billion during the year, Tether continues to set the gold standard for stability and trust in the digital asset space. Group equity exceeds $20 billion.”
