Tether Strengthens Its Position as the Global Leader of Stablecoins with Nearly 120 Billion USD₮ in Circulation

Tether, world leader in the stablecoin sector, has released the financial results for the third quarter of 2024, highlighting extraordinary growth and further consolidating its leading position in the crypto and digital currency space.

In the third quarter of 2024, Tether achieved record profits. The stablecoin issuer’s net income reached 2.5 billion dollars, according to the Consolidated Financial Figures and Reserves Report (CFFRR).

This figure, certified by the global accounting firm BDO, contributed to a consolidated profit of 7.7 billion in the first nine months of 2024. The company’s net equity increased to 14.2 billion dollars, and its total consolidated assets reached 134.4 billion.

Tether’s financial performance in Q3 2024 was marked by several milestones, including a historic high in the circulation of USD₮.

As of September 30, 2024, the stablecoin had nearly 120 billion USD₮ in circulation. This represented an increase of 30% compared to the beginning of the year, with an addition of 27.8 billion dollars in USD₮ tokens issued in just the first nine months of 2024.

The demand for USD₮ remained high throughout 2024, with an average daily net issuance of 930 million USD₮ in the first half of the year.

Tether’s ability to meet this growing demand for its stablecoin was attributed to its transparent and responsible financial management, which instilled trust in the stability and value of the tokens among users.

Another highlight of Tether’s financial performance in Q3 2024 was the achievement of a new record in the company’s reserves.

At the end of the third quarter, the stablecoin issuing companies of Tether had accumulated cash and cash equivalents totaling over 105 billion dollars.

Of these, 102.5 billion were in exposures to U.S. Treasuries, a figure that exceeded the holdings of many countries, including Germany, Australia, and the United Arab Emirates.

If Tether were considered a sovereign state, it would have ranked among the top 18 global holders of US Treasury securities, highlighting the strength of its reserve management model.

In addition to the reserves linked to the Treasury, Tether had a reserve buffer that had surpassed 6 billion dollars, offering further assurance to users.

The increase in reserves was a testament to the company’s prudent financial management, ensuring that assets exceeded liabilities and preserving the stability of the token even during periods of uncertainty in the global markets.

Tether also invested in a range of strategic sectors to support its long-term vision, such as renewable energy, Bitcoin mining, artificial intelligence, telecommunications, and education.

These investments, managed by the Tether Investments division, were not included in the reserves that support the tokens, allowing the company to allocate resources to projects that promoted innovation and global inclusion.

A key sector of this portfolio was artificial intelligence, a rapidly expanding field that aligned with Tether’s mission to remain at the forefront of technological innovation.

Investments in renewable energy and Bitcoin mining also signaled the company’s commitment to reducing the environmental impact of the cryptocurrency sector and ensuring a sustainable production of value.

Paolo Ardoino: stability and transparency as priorities

The CEO of Tether, Paolo Ardoino, highlighted the company’s dedication to ensuring transparency and prudent risk management:

“The results of Tether in the third quarter of 2024 showcase our unwavering commitment to transparency, liquidity, and responsible risk management.”

He then noted how reaching almost 120 billion USD₮ in circulation and having an exposure to the U.S. Treasury of 102.5 billion highlighted Tether’s financial solidity.

The CEO added that the presence of a reserve buffer of over 6 billion and strategic investments in high-potential sectors were tangible signs of the company’s vision.