TLDR
- Tether reported a net profit of $5.2 billion for the first half of 2024
- The company’s US Treasury holdings reached $97.6 billion
- Tether expanded into Bitcoin mining and AI development
- Its USDT stablecoin has a market cap over $114 billion
- Tether’s Q2 2024 net operating profit was $1.3 billion
Tether, the company behind the USDT stablecoin, has reported substantial profits and increased US Treasury holdings for the first half of 2024.
According to its latest attestation report, Tether achieved a net profit of $5.2 billion from January to June 2024.
The company’s financial success appears to be driven by its investment strategy and expansion into new areas. Tether’s holdings of US Treasury bills reached $97.6 billion in the second quarter of 2024.
This amount puts Tether in 18th place globally for US debt ownership, surpassing countries like Germany, the United Arab Emirates, and Australia.
Tether CEO Paolo Ardoino highlighted the company’s financial strength, stating that it demonstrates “unwavering commitment to transparency, stability, liquidity, and responsible risk management.”
Ardoino added that this position allows Tether to lead the stablecoin industry and expand into new areas.
The company’s growth isn’t limited to traditional investments. In recent months, Tether has branched out into Bitcoin mining, launching operations in Uruguay.
It has also entered the artificial intelligence sector, though specific details about these projects were not provided in the report.
Tether’s core business, its USDT stablecoin, continues to grow. The total market cap of USDT tokens has exceeded $114 billion, maintaining its position as the most widely used stablecoin in the cryptocurrency market.
The company’s financial report shows a record net operating profit of $1.3 billion for the second quarter of 2024 alone. This figure represents Tether’s best quarterly result to date, contributing significantly to the $5.2 billion half-year profit.
Tether’s move towards US Treasuries began in 2022 when it eliminated commercial paper from its reserves, replacing it with T-Bills. This strategy appears to have paid off, providing a stable income base for the company.
In addition to its profit figures, Tether reported $11.9 billion in consolidated net equity. The company stated that this disclosure was part of its commitment to transparency, a topic that has been important in discussions about stablecoin issuers.
Tether sees potential for further growth in its Treasury holdings. The company suggested it could become the largest holder of US debt by next year, driven by increasing adoption of its USDT tokens.
Tether’s expansion goes beyond finance and crypto. The company has launched “Alloy,” a platform for creating tokens backed by Tether’s tokenized gold cryptocurrency.
Ardoino also mentioned plans to bring Tether’s expertise to biotechnology and telecommunications, though no specific projects in these areas were detailed in the report.
