Despite the fall in the Bitcoin exchange rate, the company’s reserves still exceed the value of USDT in circulation by $5.3 billion
The issuer of the largest stablecoin on the market, Tether, earned $1.3 billion in the second quarter, while in the first half of the year, profit reached a record $5.2 billion. This is stated in financial statements of the companywhich was audited by independent auditor BDO.
Tether’s Financial Status
In Q2, Tether generated operating profit of $1.3 billion, up 30% from Q1 of $1 billion. In addition, consolidated net worth as of June 30, 2024 was $11.9 billion, up $520 million quarter-on-quarter.
US Treasuries make up the bulk of the company’s reserves, currently valued at more than $97.6 billion, more than the governments of Germany, the UAE and Australia.
Structure of reserves. Source: Tether.io
Bitcoin accounts for 4%, while the fall in the value of BTC in the second quarter led to unrealized losses drop in BTC prices in the amount of $653 million. However, they were offset by the growth in the value of gold. It is 3.22% of Tether’s reserves.
USDT Performance
In Q2, Tether issued USDT worth $8.3 billion. There are currently 114,466,136,718 USDT in circulation, worth almost $115 billion. The report confirms the financial stability and liquidity of the issuer, as well as its leading position in the stablecoin industry.
The value of the company’s total assets is $5.3 billion more than the value of USDT in circulation. This is enough to guarantee the stability of the coin, but less than in the first quarter ($6.3 billion).
Tether CEO Paolo Ardoino noted:
What else do you need to know
Tether actively reinvests its profits into various projects, including decentralized artificial intelligence, Bitcoin mining, and the P2P messaging platform Keet.
The company’s management states that money invested in sustainable energy, mining, data infrastructure, AI technologies, neurotechnologies, education and other long-term projects are not taken into account in the USDT backing.
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Source: Cryptocurrency
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