Tether, the leading stablecoin issuer by market capitalization, announced a first-quarter net profit of $1.04 billion, with its excess reserves surging to a record $8.23 billion. The company did not release comparative figures for the previous year or the fourth quarter, but it reported a net profit exceeding $10 billion for the entirety of 2025.
As of March 31, the total token-related liabilities for the dollar-pegged USDT remained steady at approximately $183 billion, while the company's total assets approached $192 billion. This report comes at a time when global demand for stablecoins is increasing, driven by their expanding use in international payments beyond cryptocurrency trading.
Recently, Visa expanded its stablecoin settlement pilot to include nine blockchains. The growth in excess reserves, which increased from $6.3 billion at the end of 2025, is attributed to the company's continued profitability and its focus on short-duration, high-quality liquid instruments. USDT is currently the third-largest cryptocurrency, with a market capitalization of nearly $190 billion. Tether's reserves are primarily composed of U.S.
government-backed instruments and short-term liquidity facilities, with the firm being the 17th-largest holder of U.S. Treasuries globally. Over the past two years, Tether has become a top 10 buyer of U.S.
Treasuries, surpassing countries like Taiwan, Israel, and the UAE. Additionally, the company holds approximately $20 billion in physical gold and about $7 billion in bitcoin reserves.