Tether Reports $1.04 Billion First-Quarter Earnings, Excess Reserves Hit $8.23 Billion
The stablecoin creator noted significant market turbulence during the opening quarter of the year.
Key Points:
— Tether disclosed a Q1 net profit of $1.04 billion, while its surplus reserves climbed to an unprecedented $8.23 billion.
— The USDT issuer stated total assets stand just below $192 billion, with liabilities slightly exceeding $183.5 billion, primarily backed by U.S. government securities.
— Tether’s reserve portfolio now includes approximately $20 billion in physical gold and $7 billion in bitcoin, reflecting the expanding role of stablecoins in cross-border transactions.
Tether, the largest stablecoin by market value, announced Q1 net earnings of $1.04 billion and a record-high surplus reserve of $8.23 billion.
The firm did not disclose comparative figures from the previous year or the fourth quarter. However, it previously reported annual net profits surpassing $10 billion for 2025.
According to the quarterly filing, the circulating supply of the dollar-pegged USDT remained consistent, with liabilities tied to the token totaling roughly $183 billion as of March 31. Total assets were reported at just under $192 billion.
The disclosure coincides with rising worldwide adoption of stablecoins beyond cryptocurrency trading, as they gain traction for international settlements. This week, Visa expanded its stablecoin settlement pilot to nine blockchains, incorporating Base, Polygon, Canton Network, Arc, and Tempo alongside existing support for Ethereum, Solana, Avalanche, and Stellar.
Surplus reserves, up from $6.3 billion at the end of 2025, were attributed to ongoing profitability and a reserve base focused on short-term, high-quality liquid instruments, according to the company.
USDT ranks as the third-largest cryptocurrency, trailing only bitcoin
Tether holds most of its reserves in U.S. government-backed assets and short-term liquidity facilities, positioning it as the 17th-largest global holder of U.S. Treasuries. Over the past two years, Tether has emerged as a top 10 purchaser of U.S. Treasuries, overtaking Taiwan, Israel, and the UAE.
Physical gold reserves amount to roughly $20 billion, with bitcoin holdings valued at approximately $7 billion.