Tether, the world's largest stablecoin issuer, has announced profits exceeding $10 billion for the first three quarters of 2025. This significant financial performance highlights the company's strong position in the cryptocurrency market, even amidst challenging global economic conditions.
The company's latest attestation reveals substantial growth in its holdings and user base, signaling continued trust and demand for its USDT stablecoin.
Key Takeaways
- Tether's profits surpassed $10 billion in the first nine months of 2025.
- Third-quarter profits alone exceeded $4.3 billion.
- Total U.S. Treasury holdings reached $135 billion.
- Tether's user base grew to over 500 million.
- The company is reportedly in talks to raise up to $20 billion at a $500 billion valuation.
Record Profits Drive Stablecoin Dominance
Tether's financial results show a robust profit-generating machine. The company reported $5.7 billion in profit during the first two quarters of the year. This means its third-quarter profit alone amounted to more than $4.3 billion, pushing the year-to-date total past the $10 billion mark.
This impressive performance comes as Tether continues to expand its USDT stablecoin issuance. During the third quarter, the company issued an additional $17 billion in USDT, reflecting strong market demand.
"Q3 2025 results reflect the continued trust and strength behind Tether, even amid a global challenging macroeconomic environment," said Paolo Ardoino, Tether CEO, in a recent statement.
As a private entity, Tether does not release traditional quarterly earnings reports. Instead, it publishes attestations prepared by BDO, an independent accounting firm. These attestations provide insights into the company's financial health and reserves.
Tether's Asset Holdings
- U.S. Treasuries: $135 billion
- Precious Metals: Nearly $13 billion
- Bitcoin: $10 billion
Growing Holdings and User Base
Tether's substantial profits are backed by its diverse and growing asset holdings. The company's exposure to U.S. Treasuries has reached an impressive $135 billion. This significant allocation to government bonds underscores Tether's strategy of maintaining highly liquid and secure reserves.
Beyond Treasuries, Tether also holds nearly $13 billion in precious metals and $10 billion in Bitcoin. These diversified assets provide additional backing for its stablecoin, reinforcing investor confidence.
The company's reach extends to a massive user base. Earlier this month, Tether announced it had surpassed 500 million users globally. This widespread adoption highlights the stablecoin's critical role in the broader cryptocurrency ecosystem.
Stablecoins in the Crypto Economy
Stablecoins are digital currencies pegged to a stable asset, typically the U.S. dollar, to minimize price volatility. They are crucial for facilitating trading, lending, and payments within the cryptocurrency market, acting as a bridge between traditional finance and digital assets. Issuers generate revenue primarily through the interest earned on the reserves backing these stablecoins.
Market Position and Future Outlook
While Tether remains the undisputed leader among USD-pegged stablecoins, the competitive landscape is evolving. JPMorgan recently noted that Circle's USDC token is experiencing faster growth in terms of on-chain activity and market capitalization compared to Tether's USDT.
Despite this, Tether's overall dominance is clear. The company's ability to generate such substantial profits, particularly from interest on its vast Treasury holdings, positions it strongly for future growth.
In September, Bloomberg reported that Tether was in discussions with investors to raise as much as $20 billion. These talks reportedly value the company at around $500 billion, a testament to its significant market influence and financial strength.
This potential fundraising round could further fuel Tether's expansion and allow it to explore new opportunities within the digital asset space. The company's strategic moves continue to shape the stablecoin market and influence broader cryptocurrency trends.
Analysts continue to watch Tether's performance closely. Its financial health and operational decisions have a ripple effect across the entire digital asset industry. The company's consistent profitability and expanding user base suggest a continued trajectory of influence and growth in the years to come.
