Tether Reports $3.3B in Excess Reserves in Q2, Up $850M for the Quarter
The issuer of stablecoin USDT said its operational profits exceeded $1 billion in Q2 this year.
Tether, issuer of the stablecoin, held $3.3 billion of reserve assets in excess to back the value of its stablecoins, the firm in its Q2 attestation on Monday.
Signed by accounting firm BDO Italy, the attestation disclosed about $72.5 billion of exposure to U.S. Treasuries, including direct T-bill investments, repurchase agreements and deposits in money market funds.
The company's bitcoin () holdings as of June 30 increased in dollar value to $1.67 billion from $1.5 billion three months earlier, according to the filing, though the number of tokens held was not disclosed.
Tether its operational profits exceeded $1 billion for the second quarter. In May, the firm $1.45 billion in "net profits" in Q1.
Tether is the issuer behind the $83 billion USDT, the largest stablecoin by market capitalization, and some smaller stablecoins. USDT is a key piece of the crypto ecosystem facilitating trading and asset transfers.
Issuing fiat-backed dollar-pegged stablecoins is a lucrative business due to rising U.S. government bond yields, the primary reserve asset for USDT. Tether's reported profits are close those of asset management giant BlackRock – with more than $9 trillion in assets under management (AUM) – of just over $1.6 billion in Q2.
Tether, however, continues to receive a fair amount of scrutiny for its and – a deeper financial analysis than attestations.
Edited by Stephen Alpher.
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