Tether Holdings Limited has presented impressive results in its latest audit report, corresponding to the second quarter of 2024.
The company that issues the USDT stablecoin, the largest stablecoin in the crypto market, has achieved a record net profit of $5.200 billion in the first half of 2024, as reported in its report. Tether Releases Q2 2024 Attestation: Reports Record, published on July 31.
This historic profit record positions the stablecoin company as an undisputed leader in the stablecoin and digital asset sector.
Currently, USDT is listed as the third largest crypto asset on the market, in terms of market capitalization. However, the stablecoin ranks first as the most traded crypto asset worldwide, with a trading volume of more than $57.000 billion per day, according to data from CoinMarketCap. This is 1,5 times larger than Bitcoin's trading volume today, highlighting the impact and importance the stablecoin has on the global financial market.
Tether registers new records in the 1st half
In his recent audit report For the second quarter, Tether has revealed a net operating profit of $1.300 billion. This figure contributes to a total of $5.200 billion in accumulated profits for the first half year.
This is a result that not only marks a historic milestone for the company, but also underlines its ability to generate revenue in a challenging financial environment full of competitors.
Paolo Ardoino, CEO of Tether, expressed through X and several interviews with media such as Forbes, that his company has generated more money than he could have ever dreamed of.
The key to this success lies in Tether's strong revenue base, which comes primarily from investments in traditional assets such as US Treasuries and has diversified into other sectors such as investing in mining. Bitcoin.
Overtakes Germany, the United Arab Emirates and Australia
At the end of June 2024, Tether reached an unprecedented level of Treasury bond ownership, surpassing $97.600 billion. This figure, Ardoino indicated, not only reflects the company's stability, but also positions it favorably compared to heavyweight economies such as Germany, the United Arab Emirates and Australia, this being one of Tether's most notable achievements in the last semester.
“This achievement raises Tether's exposure to Treasuries above Germany, the United Arab Emirates and Australia. While China and other countries have been recent net sellers of US Treasuries, Tether ranked 18th in the ranking of countries holding US debt,” Ardoino stressed in a recent publication in X.
On the other hand, the consolidated capital of the stablecoin company reached $11.900 billion. According to Ardoino, this figure demonstrates effective asset management and a commitment to financial transparency, as well as the company's dedication to stability and liquidity, which has allowed the company to remain at the forefront of the securities industry. cryptocurrencies.
Tether owns 80.000 bitcoins
Although the company's main business is stablecoins, it has also accumulated a significant amount of Bitcoin, the main and most capitalized cryptocurrency on the market.
In May of last year, the company announced that it would begin invest in BTC, allocating 15% of its net income to the acquisition of the cryptocurrency. Since then, it has been strengthening its Bitcoin reserves, which exceed $5.000 billion as of today.
Ardoino announced that Tether owns 80.000 bitcoins, positioning itself as the third company with the largest holding of BTC in its reserves, after MicroStrategy and Block Inc.
$8.300 Billion Issued in USDT
On the other hand, according to the report data, in the second quarter of 2024, Tether issued more than $8.300 billion in USDT, its main stablecoin, reinforcing its position as the main stablecoin in the market. This issuance not only reflects the growing demand for its digital currency, but also underlines the confidence that users have in the stability and liquidity of Tether.
According to data from CoinMarketCap, USDT's market capitalization has grown by 25% so far this year.
Source: CoinMarketCap
Finally, the audit report presented by the company also revealed that the assets backing the issued USDT tokens exceed the company's obligations, which provides a significant financial cushion and represents a great improvement in its image in recent years. Tether has been the subject of much criticism and speculation due to the transparency of its reserves. However, it reported that these now amount to more than $118.400 billion, maintaining a safety margin of almost $5.000 billion to ensure the stability of USDT and its users in the market.
“Tether management, in fact, decided to hold $5.33 billion in excess reserves as part of stablecoin reserves (in addition to the 100% reserves backing all issued tokens) to further protect the global user base. of USDT, representing hundreds of millions of people around the world, with a deep concentration in emerging markets and developing countries”Ardoino commented.
Growth and expansion of Tether Limited in the crypto market
The issuance of USDT has been a key factor in Tether's expansion. However, as already mentioned, the company has also diversified into other areas, making investments in sustainable energy, Bitcoin mining, data infrastructure, artificial intelligence and telecommunications. This variety of investments are not only strategic, but also position Tether as a relevant player in emerging sectors that are shaping the future of technology and finance.
In the last quarter, the USDT company announced multiple investments in projects such as XREX Group, Northern Data Group and Blackrock Neurotech, with which it reinforces its fundamental vision, of creating solutions that allow disintermediation and facilitate access to financial services.
In conclusion, Tether has proven to be one of the undisputed leaders of the stablecoin market, setting new records in profits and consolidating its position in the global financial arena. Now, with a strong focus on transparency and stability, the company is well positioned to continue its upward trajectory as a benchmark in the cryptocurrency ecosystem.
