Tether delivered impressive results in the first quarter. Operating profit was $1 billion, and excess reserves reached $5.6 billion. This demonstrates the stability and reliability of the platform.
Assets and Liabilities
Tether’s assets include $98.5 billion in direct U.S. Treasury bills, with additional repurchase agreement liabilities totaling over $23 billion. USDT reserves exceed $5.6 billion, an increase of $7.1 billion from the last quarter of 2024.
Growing Turnover and Users
USDT turnover increased by $7 billion, and the number of user wallets increased by 46 million. This demonstrates the growing trust in the platform and its popularity among investors and users.
Investments and Strategic Projects
Tether’s excess capital is actively invested in strategic projects. More than $2 billion has been allocated to renewable energy, artificial intelligence, peer-to-peer communications, and data infrastructure. This highlights the company’s commitment to innovation and investment in promising areas.
Stablecoin Market
The stablecoin market is dominated by tokens pegged to the US dollar. Circle’s USDT and USDC account for 87% of the market. The market capitalization of dollar-backed stablecoins could reach $2 trillion by 2028.
Risks and concerns
Despite impressive results, EU officials have expressed concerns about overreliance on dollar-backed stablecoins. The Bank of Italy has also warned of the potential impact of disruptions in the stablecoin market on the global financial system.
Nevertheless, Tether continues to strengthen its position in the market and invest in development, demonstrating resilience and adaptability in a changing financial environment.
