Stablecoin issuer Tether reported a $700 million profit for the fourth quarter of 2022, according to its latest attestation report published on Feb. 9.

The company said it has an excess reserve of at least $960 million as of Dec. 31. Its total assets stood at $67.04 billion, while its liabilities were $66.08 billion — the majority of them relating to its issued digital tokens.

“Tether’s reserves remain extremely liquid, with the majority of its investments being held in cash, cash equivalents, and other short-term deposits.”

Tether’s attestation report was prepared by the international accounting firm BDO.

Tether’s CTO Paolo Ardoino said the attestation report proved the company’s resilience, stability, and “its ability to handle bear markets and black swan events.” Ardoino added:

“Not only were we able to smoothly execute over $21 billion dollars in redemptions during the chaotic events of the year, but Tether has on the other side issued over $10 billion of USDT, an indication of continued organic growth and adoption of Tether.”

In 2022, the crypto market plunged to record lows, leading to the capitulation of several crypto firms. Stablecoin issuers also faced increased regulatory scrutiny following the collapse of Terra’s algorithmic stablecoin.

During this period, Tether experienced a mini bank run that processed around $10 billion in withdrawals over two weeks.

Meanwhile, the issuer removed all secured loans and commercial paper from its reserves following heightened community fears. Tether has also repeatedly maintained that it has no exposure to any firm affected by the crypto contagion.

The post Tether reports $700M profit for Q4’22 appeared first on CryptoSlate.

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Filed under: Bitcoin - @ February 9, 2023 1:25 pm