Tether, the leading stablecoin issuer by market capitalization, has announced a net profit of $1.04 billion for the first quarter, accompanied by a record high of $8.23 billion in excess reserves. The company did not release comparative figures for the previous year or the last quarter but mentioned a net profit exceeding $10 billion for the entire year of 2025. The circulation of the dollar-pegged USDT remained stable, with total token-related liabilities amounting to approximately $183 billion as of March 31, according to the firm's quarterly report. Total assets stood at just under $192 billion.
The report's release coincides with a surge in global demand for stablecoins, driven by their increasing use in international payments beyond crypto trading. Recently, Visa expanded its stablecoin settlement pilot to nine blockchains. Tether's excess reserves, which have increased from $6.3 billion at the end of 2025, are attributed to the company's continued profitability and a reserve base focused on short-duration, high-quality liquid instruments.
As the third-largest cryptocurrency, behind bitcoin and ether, USDT boasts a market capitalization of nearly $190 billion. The majority of Tether's reserves are comprised of 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.