Tether, the leading stablecoin issuer by market capitalization, has announced a net profit of $1.04 billion for the first quarter, alongside a record increase in excess reserves to $8.23 billion. The company did not release comparative figures for the previous year or the last quarter, but it did report a net profit exceeding $10 billion for the entirety of 2025. As of March 31, the total USDT in circulation remained steady, with token-related liabilities amounting to approximately $183 billion. The company's total assets stand at nearly $192 billion.
The quarterly report comes at a time when stablecoins are experiencing growing global demand, driven by their expanding use in international payments beyond cryptocurrency trading. Recently, Visa expanded its stablecoin settlement pilot to include nine blockchains. Tether's excess reserves have risen from $6.3 billion at the end of 2025, attributed to the company's sustained profitability and a reserve base comprising short-duration, high-quality liquid instruments. With a market capitalization of just under $190 billion, USDT ranks as the third-largest cryptocurrency, following bitcoin and ether.
The majority of Tether's reserves are invested in U.S. government-backed instruments and short-term liquidity facilities, with the firm being the 17th-largest holder of U.S. Treasuries worldwide. Over the past two years, Tether has become a top 10 buyer of U.S.
Treasuries, surpassing several countries. Additionally, the company holds approximately $20 billion in physical gold and around $7 billion in bitcoin reserves.