Tether Holdings Reports Record $4.52B Profit in First Quarter of 2024
Summary:
Tether Holdings, the operator of the world's largest stablecoin (USDT), disclosed a record Q1 2024 net profit of $4.52 billion. The company also announced its net equity of $11.37 billion, marking significant growth from $7.01 billion in December 2023. Tether, with a market value of over $110 billion, reported that $1 billion of the profit was generated from U.S. treasury holdings operational profits, and the remaining $3.52 billion from market-to-market gains on Bitcoin and gold holdings. Excess reserves rose by $1 billion, standing just under $6.3 billion. The report also revealed over $104 billion in liabilities pertaining to digital tokens issued, with reserve assets exceeding liabilities by over $6.2 billion.
In the first quarter of 2024, Tether Holdings, the firm behind the world's most prominent stablecoin (USDT), disclosed a record-breaking net profit of $4.52 billion. Additionally, Tether unveiled its net equity for the first time, which as of March 31, stood at an impressive $11.37 billion. In comparison to the net equity of $7.01 billion reported in December 2023, this marks a substantial growth, based on the attestation report from Tether for Q1 2024.
The $1 billion of the profit was generated from operational profits originating from the US treasury holdings. The additional $3.52 billion hails from the company's Bitcoin (BTC) and gold holdings' market-to-market earnings. CoinMarketCap data shows that Tether's USDT, deemed the largest global stablecoin, is valued at over $110 billion. The company has issued $12.5 billion in USDT within the first three months of the year.
There was a notable rise of $1 billion in the company's excess reserves, which serve as a safety net for the stablecoin offerings. Tether’s excess reserves were just beneath the $6.3 billion mark.
Tether's first quarter report of 2024 also unveiled that in excess of $104 billion in liabilities are connected to "digital tokens issued." The reserve assets of Tether surpassed its liabilities by more than $6.2 billion, as of March 31.
This news is still developing, and more information will be provided as it surfaces.
Published At
5/1/2024 3:31:51 PM
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