Tether hits record $13B profits in 2024, reinforcing stablecoin dominance

0 1,978 1 minute read

Key Takeaways

Tether’s 2024 net profits exceeded $13 billion, pushing total group equity past $20 billion.
The company’s exposure to US Treasuries hit a record $113 billion, reinforcing its liquidity position.

Tether’s latest attestation highlights its continued dominance in the stablecoin market, with $13 billion in yearly profits and $45 billion in total issuance for 2024, marking one of its strongest years to date.

The company’s Q4 2024 attestation also confirms a record $113 billion in US Treasury holdings as of December 31, reinforcing its position as the most capitalized and widely used stablecoin issuer.

Tether’s reserves for issued tokens reached $143 billion, with a $7 billion surplus, showcasing the company’s strong financial position.

With a market cap of $136 billion, as highlighted in Tether’s report, the stablecoin issuer significantly outpaces its closest competitor, Circle’s USDC, which holds a $53 billion market cap—roughly one-third of Tether’s size.

However, at press time, CoinGecko data shows Tether’s market cap has risen to $140 billion, indicating that in January alone, the company has issued an additional $4 billion in USD₮.

This rapid growth underscores the increasing demand for stablecoins and the strong market appetite for USD₮ as crypto adoption continues to expand.

As stablecoins gain traction, the sector’s total market capitalization is nearing $200 billion. Digital asset manager Bitwise projects that this growth will accelerate in 2025, predicting the stablecoin market could reach $400 billion next year.

In Q4 alone, Tether issued $23 billion in new USD₮ tokens, pushing its total issuance for the year to $45 billion.

The firm also expanded its investments beyond stablecoins, increasing exposure to Bitcoin mining, AI, renewable energy, and telecommunications.

Additionally, Tether announced yesterday its expansion into Bitcoin’s base layer and the Lightning Network, reinforcing its commitment to crypto infrastructure and market growth.

Tether further strengthened its global presence by securing a stablecoin issuer and Digital Asset Service Provider license in El Salvador, where it has relocated its headquarters.

CEO Paolo Ardoino highlighted these developments, stating that Tether’s latest attestation reinforces its leadership in financial transparency, liquidity, and innovation.

He emphasized the company’s growing influence in the broader crypto ecosystem, driven by its expanding reserves and strategic investments.