Tether, the entity behind the most valuable stablecoin, posted a net profit of $1.04 billion for the first quarter, accompanied by a significant increase in its reserve buffer to $8.23 billion. The company did not release comparative figures for the previous year or the last quarter but had announced a net profit exceeding $10 billion for the entirety of 2025. As of March 31, the circulation of USDT, a dollar-pegged stablecoin, remained steady, with total liabilities related to the token amounting to approximately $183 billion.
The firm's total assets stood at nearly $192 billion. The quarterly report coincides with a surge in global demand for stablecoins, 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, which rose from $6.3 billion at the end of 2025, are attributed to the company's sustained profitability and a reserve base comprising short-duration, high-quality liquid assets. USDT ranks as the third-largest cryptocurrency, with a market capitalization of just under $190 billion, 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 one of the top 10 buyers 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.