Tether's Q1 2025: Treasury Powerhouse, User Growth Surge, and Billion-Dollar Profits
-
Tether, the leading stablecoin issuer, has released its Q1 2025 attestation report, conducted by top-tier accounting firm BDO, showcasing significant financial milestones and expanding user adoption. The report reveals a substantial increase in the company’s U.S. Treasury holdings, nearing a new peak, alongside impressive quarterly operating profits that have surpassed the $1 billion mark.
The attestation highlights Tether’s robust financial position, with total assets reaching $149.27 billion against liabilities of $143.68 billion. Notably, the company is now operating under regulatory oversight in El Salvador, where it holds a license as a stablecoin issuer, marking a significant step in its regulatory journey.
A key driver of Tether’s strong performance in Q1 2025 was its strategic investment in U.S. Treasuries. The report indicates that Tether’s total exposure to U.S. Treasuries approached $120 billion, encompassing direct holdings, money market fund investments, and reverse repurchase agreements. This Treasury portfolio significantly contributed to the over $1 billion in operating profit generated from traditional investments during the quarter. Furthermore, Tether noted that its gold holdings played a crucial role in mitigating the impact of cryptocurrency market volatility during this period.
The report also underscores the increasing adoption of USDT, with its circulating supply experiencing a substantial surge of nearly $7 billion in Q1 2025, reaching a total of $143.68 billion tokens issued. This growth in supply coincided with a remarkable 13% increase in user wallets, adding approximately 46 million new users within a single quarter.
This expansion brings Tether’s global user base to an estimated 415 million. Tether CEO Paolo Ardoino highlighted that a significant 37% of this global user base utilizes USDT for savings purposes, further emphasizing its role beyond just trading. He also noted the stablecoin’s impressive average daily trading volume of $30 billion, solidifying its position as a cornerstone of the cryptocurrency market.