Tether, the leading stablecoin issuer by market capitalization, has announced a net profit of $1.04 billion for the first quarter, alongside a significant increase in excess reserves to $8.23 billion. The company's quarterly report highlights the stability of its dollar-pegged USDT in circulation, with total token-related liabilities of approximately $183 billion as of March 31. Total assets stand at nearly $192 billion. This news comes as global demand for stablecoins grows, driven by their expanding use in international payments.
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, supported by the company's continued profitability and a reserve base focused on short-duration, high-quality liquid instruments.
As the third-largest cryptocurrency, USDT has a market capitalization of almost $190 billion, behind bitcoin and ether. The majority of Tether's reserves are in U.S. government-backed instruments and short-term liquidity facilities, with the firm being the 17th-largest holder of U.S.
Treasuries globally and a top 10 buyer over the past two years. Additionally, Tether holds roughly $20 billion in physical gold and approximately $7 billion in bitcoin reserves.