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Tether’s Q2 profit surge
Tether reported a net operating profit of $1.5 billion for the second quarter, saying the result was fueled by interest income from its massive portfolio of US Treasury securities.
“reported a net operating profit of $1.5 billion for the second quarter”
The company’s latest quarterly attestation was released on Friday and said its assets exceeded its total liabilities by a reserve buffer of $4.11 billion as of June 30.
Tether also reported that the circulating supply of USDt grew by $446 million during the quarter, pushing the total to $184.6 billion.
In the same attestation, Tether said it maintained a market share of more than 60% of the total stablecoin market even as the industry’s total market cap declined.
Tether’s Q2 performance was tied to elevated short-term interest rates, which it said helped turn US Treasury and repurchase agreements into an earnings engine.
Gold adds to reserves
Tether said it added 14 tons of physical gold during the quarter, bringing its bullion holdings to more than 146 tonnes.
Kitco reported that the purchase brought Tether’s total bullion holdings to more than 146 tonnes, valued at approximately $18.8 billion.
In its own Q2 attestation, Tether said its net operating profit for the quarter was $1.50 billion, led by a strong U.S Treasury portfolio and repo performance.
Tether’s CEO Paolo Ardoino said, "Q2 demonstrated the strength of Tether's reserve strategy under real market pressure," as the company described USD₮ as remaining fully backed with reserves still exceeding liabilities by $4.11 billion.
Tether also said it reduced its secured lending exposure by approximately $2.38 billion (15%) during the quarter.
Scale, users, and scrutiny
Tether said USD₮ issuance increased to approximately $184.6 billion in tokens issued at the end of Q2, around $446 million higher than at the end of Q1.
“global user base continued to grow by more than 30 million users”
The company said USD₮’s resilience extended its market share to over 60% of the total stablecoin market, and it reported that its global user base continued to grow by more than 30 million users.
Paolo Ardoino also said, "Our net operating profit for the quarter was $1.50 billion, led by a strong U.S Treasury portfolio and repo performance," linking earnings to Treasury and repo activity.
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