Tether Q3 Report: Profits of $7.7 Billion in the First Three Quarters, with Significant Contributions from Gold Appreciation

The stablecoin issuer Tether has released its third-quarter attestation report signed by the accounting firm BDO, reporting a profit of $7.7 billion in the first nine months, holding $102.5 billion in U.S. bonds, with a circulation of over $120 billion. By the third quarter of 2024, the excess reserves will exceed $6 billion.

Tether's Third Quarter Excess Reserves Reach $6 Billion

Stablecoin issuer Tether has announced the issuance of the third-quarter audit report for 2024 signed by BDO, one of the world's five major accounting firms. The report was released.

As of September 30, 2024, the group's total assets amounted to $125,472,000,279, with total liabilities of $119,380,380,143, exceeding the liabilities. The difference between assets and liabilities, which would typically be listed as shareholder equity on a traditional balance sheet, is referred to by Tether as the Shareholder Capital Cushion, amounting to approximately $6.09 billion.

Of the asset reserves, 83.89% are held in the form of cash, cash equivalents, and other short-term deposits. The amount of U.S. Treasury bonds held directly and indirectly amounts to $102.5 billion.

Tether also holds $4.78 billion worth of Bitcoin and $4.96 billion worth of precious metals, namely gold. Tether CEO Paolo Ardoino revealed at the end of October that Tether holds 82,454 BTC.

Third Quarter Net Profit Reaches $2.4 Billion

The net profit for the third quarter of 2024 is $2.5 billion, with $1.3 billion coming from U.S. Treasury bond yields and $1.1 billion from unrealized gains on gold holdings.

The cumulative profit for the first nine months of 2024 is $7.7 billion, with total equity reaching $14.2 billion and total assets reaching $134.4 billion, both reaching historic highs.

Tether's proprietary investments, represented by Tether Investments Limited in the table below, have reached $7.7 billion. These strategic investments span key industries such as renewable energy, Bitcoin mining, artificial intelligence, telecommunications, and education, reinforcing Tether's broader mission of driving global innovation and inclusivity. Tether Investments also holds 7,100 BTC. According to previous analysis, Tether continues to reinvest the profits from its stablecoins into other businesses.

With the Fed expected to cut rates soon, Tether's quarterly earnings may decrease by $200 million. How will the leading stablecoin respond?

Tether's Market Cap Grows by 30% This Year

Tether proudly states that the market value of its stablecoin USDT has grown by 30% since the beginning of the year, almost equivalent to the total market value of its competitor, specifically referring to Circle's USDC. The market value of USDT has exceeded $120 billion, accounting for 68% of the total stablecoin market value.