Tether, the leading stablecoin issuer by market capitalization, has announced a net profit of $1.04 billion for the first quarter, accompanied by a substantial increase in excess reserves to $8.23 billion. The company's total assets stand at nearly $192 billion, with token-related liabilities of approximately $183 billion as of March 31. This financial update comes at a time when stablecoins are experiencing increased demand globally for their utility in international payments beyond cryptocurrency trading. Notably, the recent expansion of Visa's stablecoin settlement pilot to include nine blockchains underscores this trend.
Tether's excess reserves have grown from $6.3 billion at the end of 2025, supported by the company's continued profitability and its focus on short-duration, high-quality liquid instruments. As the third-largest cryptocurrency, USDT boasts a market capitalization of just under $190 billion, placing it behind only 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 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.