Tether Made $6.2 Billion In Profit
Tether, the firm behind top USD stablecoin, USDT, turned a whopping $6.2B of profit in 2023. This figure is $700M greater than the profit made by world’s largest asset manager, BlackRock, in the same period. Not to mention, Tether did it with an estimated 100 employees, against BlackRock’s estimated 16,500 employees. In the first half of 2024, Tether has already reported a net profit of $5.2B, already breaking its record from the year before.
Moreover, Tether has been purchasing BTC with a portion of their profits since September 2022, and are currently holding 75.35K BTC, or $4.38B worth. This puts Tether as the 16th largest holder of Bitcoin, behind large centralized exchanges and Bitcoin ETF providers.
While Tether’s profits continue to skyrocket with its increasing dominance in the stablecoin arena, critics are skeptical if high profits are sustainable in the long run with the expectations of rate cuts incoming as Tether’s profits are largely derived from interest generated from their clients’ USD deposits through US Treasuries.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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