Tether’s Treasury Bet Grows as Profits Take a Hit

Tether, the company behind the world’s largest stablecoin USDt, is doubling down on safety—even as profits slide. In 2025, Tether’s US Treasury holdings surged past a record $122 billion, signaling a strong shift toward low-risk, highly liquid assets.

However, the year wasn’t all upside. According to a BDO-prepared report, net profits fell 23% year-on-year, dropping from $13 billion in 2024 to just over $10 billion in 2025. Still, the company remains massively profitable.

Despite lower earnings, Tether’s growth engine kept running. The firm issued $50 billion in new USDt over the year, driven by rising global demand for US dollars—especially in regions with slow or limited banking systems.

CEO Paolo Ardoino emphasized that structure matters more than scale, pointing to USDt’s expanding role as a financial lifeline outside traditional banking rails.

Bottom line: Profits dipped, but Tether’s balance sheet is stronger than ever—and its grip on the stablecoin market keeps tightening #USDT