Tether Holdings Limited, the issuer of USDT stablecoin, has unveiled the attestation report for the first quarter of FY24. The latest attestation, as of March 31, 2024, goes beyond the reserves backing Tether Fiat-denominated stablecoins. Moreover, it provides a comprehensive overview of the entire Tether Group’s financial prowess.

Tether Reports Gigantic Net Profit

In a groundbreaking achievement, the first quarter of 2024 witnessed Tether Group’s net profit soaring to an astonishing $4.52 billion, marking a significant milestone in the company’s history. The profits were primarily driven by net operating profits, largely derived from US Treasury holdings, and supplemented by mark-to-market gains in Bitcoin and Gold positions.

Moreover, Q1 2024 showcased the USDT issuer’s unparalleled success in increasing both direct and indirect ownership of U.S. Treasuries, now exceeding $90 billion. Furthermore, this included indirect exposure through overnight reverse-repurchase agreements and investments in US Treasuries via money market funds.

The USDT issuer’s commitment to transparency was further underscored by the revelation of its net equity for the first time, standing at an impressive $11.37 billion as of March 31, 2024. Paolo Ardoino, CEO of Tether, emphasized the company’s dedication to transparency, stability, liquidity, and responsible risk management. He stated, “With the first attestation of 2024, Tether has demonstrated its unwavering commitment to transparency, stability, liquidity, and responsible risk management.”

The Tether CEO added, “As shown in this latest report, Tether continues to shatter records with a new profit benchmark of $4.52 billion, reflecting the company’s sheer financial strength and stability. In reporting not just the composition of our reserves, but now the Group’s net equity of $11.37 billion, Tether is again raising the bar in the cryptocurrency industry in the realms of transparency and trust.”

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Asset Reserves & Strategic Investments

Additionally, Tether reaffirmed the backing of its fiat-denominated stablecoins with Cash and Cash Equivalents at an impressive 90%. Hence, it ensures liquidity within the stablecoin ecosystem. In the first quarter alone, over $12.5 billion in USDT was issued. This further solidifies Tether’s position as a leader in the stablecoin market.

The Reserves Report (RR) section of the new report reiterated Tether’s strong financial position. Its asset reserves for USDT tokens in circulation exceed the liabilities by $6.26 billion. Furthermore, the report highlighted Tether’s strategic investments of over $5 billion as of the report date. The investments have been made across various sectors such as AI and Data, Renewable Energy, P2P communication, and BTC Mining.

Also Read: Crypto Prices Dip On May 1, Why Bitcoin Price Risks Crashing To $45-49K?

The post USDT Issuer Tether Reports Record $4.52B Profit In Q1 2024 appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am