Tether’s profits in the first half of the year reached a record $5,2 billion
The company also came 18th in terms of investments in US government debt
![Tether’s profits in the first half of the year reached a record $5,2 billion](https://storage.getblock.net/source/1/lQunw1zAd9ZCSIRuz4B_xMKks8u8e9N9.webp)
01.08.2024 - 15:45
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What’s new? Tether, which issues USDT stablecoin with a capitalization of $114,5 billion, released its Q2 earnings report prepared by accountants at accounting firm BDO, where it reported a record $5,2 billion profit for the first half of the year. Net operating income in the period reached $1,3 billion, which was also the best result in the company’s history.
What else is known? The company’s strong and stable earnings base is supported by investments in traditional assets, primarily US Treasuries. In Q2, the volume of such securities held directly or indirectly by Tether exceeded $97,6 billion, which was also a record for the company. Thus, in terms of investment in US government debt, Tether moved up to 18th place, surpassing such countries as Germany, the UAE, and Australia.
In the ranking of owners of short-term US Treasury bonds, the company ranks third, behind only Great Britain and the Cayman Islands. The company admits that it will top this ranking next year “given the trajectory of USDT adoption.”
![Tether to release a new open-source product](https://storage.getblock.net/source/1/2vGtfWVP-1sipx7kW4R4De32mLrAwftU.png)
Tether to release a new open-source product
According to the head of the company, it will become an important element of the crypto ecosystem
USDT pegged to the US dollar is the third most capitalized of all cryptocurrencies, behind only bitcoin and Ethereum. Since the beginning of the year, its capitalization has grown by 25%. During the second quarter, the company issued over 8,3 billion USDT.
The press release also reports that the company’s equity increased by $520 million in Q2. The indicator was partially offset by the fall in the BTC exchange rate, but also partially recovered due to the growth of gold yields. Consolidated net equity was $11,9 billion as of June 30.
“Part of the profits of the second quarter were reinvested in strategic projects to support the ecosystem while maintaining a sizable amount of excess reserves ($5,3 billion) to further the stability of our token,” Tether reported.
Reserves for USDT at the end of the reporting period amounted to $118,4 billion. It is noted that the company does not count as reserves its investments in sustainable energy, bitcoin mining, AI, P2P, and other technologies, education, and property.
![New complaint has been filed against Tether and Bitfinex over the issuance of unsecured USDT](https://storage.getblock.net/source/1/uiS64QGjJIkUEDZtmYpX-mreCeGWcgE6.png)
New complaint has been filed against Tether and Bitfinex over the issuance of unsecured USDT
Proceedings on charges of market manipulation with uncollateralized issued stablecoins have been going on since 2019
“Tether has achieved an impressive and unmatched financial strength enabling it to continue leading the stablecoin industry in stability and liquidity as well as to bring its expertise across different areas such as Artificial Intelligence, Biotech, and Telecommunications” CEO Paolo Ardoino summarized.
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