Tether Reports Record $4.5B Net Profit in First Quarter 2024
Stablecoin issuer Tether reported a "record-breaking" $4.52 billion in profits in the first quarter of 2024.
Tether Releases Q1 2024 Attestation: Reports Record-Breaking $4.52 Billion Profit, Highest Treasury Bill Ownership Percentage Ever, Total Group Equity of $11.37 Billion
— Tether (@Tether_to) May 1, 2024
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According to an attestation report as seen on the company website, the first quarter of 2024 saw a record net profit of $4.52 billion for the group, building on the momentum from Q4 2023.
The report disclosed $1 billion in earnings from the companies within the group that are in charge of creating stablecoins and maintaining their corresponding reserves, pushing the total to nearly $6.3 billion.
In addition, the group disclosed its net equity for the first time as part of its unwavering commitment to transparency, showing an astounding $11.37 billion as of March 31, 2024. Compared to the reported equity of $7.01 billion on December 31, 2023, this represents a significant increase.
BDO, a leading global independent accounting firm, further verified that Tether-issued tokens are backed by cash and cash equivalents at an impressive 90%, highlighting its commitment to maintaining liquidity within the stablecoin ecosystem. This confirms the Reserve's backing of fiat-denominated stablecoins. USDT worth $12.5 billion was issued by the company in the first quarter of 2024.
The latest quarterly attestation further revealed that the total amount of reserves for Tether tokens in use is $110,289,406,409, and a total of $104,027,539,692 is the liability of the companies issuing Tether tokens, of which $104,019,279,735 is related to the digital tokens issued. As of March 31, 2024, the value of the assets making up the reserves is $6,261,866,717 more than the value of the liabilities of the companies issuing Tether tokens.
With a market valuation of more than $110 billion, USDT is currently the biggest dollar-pegged stablecoin in the United States, ranking third in terms of cryptocurrencies behind Ethereum (ETH) and Bitcoin, according to CoinGecko.
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