Tether reports $1.5 billion net profit for first quarter in latest attestation report

Tether, the stablecoin issuer, reported that its net profit in the first quarter was $1.5 billion, more than double the figure from the previous period.

“We are delighted with the significant gains that Tether achieved in the first quarter of 2023, bringing our reserve surplus to an all-time high of $2.44 billion,” said Paolo Ardoino, CTO of Tether, in comments shared exclusively with The Block. publications. "Our quarterly net income of $1.48 billion is a testament to our platform's success, strength, and stability."

Tether's consolidated total assets as of May 9 were approximately $81.8 billion, and consolidated total liabilities were $79.4 billion. As a result, excess reserves are at least $2.44 billion, an all-time high in the coin's history. Excess reserves are well above Tether's Q4 performance of $960M.

Tether reveals the distribution of Bitcoin and gold for the first time

Tether has included additional categories for the first time in its reserve reporting. These include Bitcoin, physical gold, overnight repos, and corporate bonds. The company owns $1.5 billion in Bitcoin and $3.3 billion in precious metals.

Tether said that the majority of its investments, about 85%, are held in cash, cash equivalents, and other short-term deposits. The company added that gold and bitcoin account for about 4% and 2% of total reserves, respectively.

"We continue to continuously monitor and analyze the risk-adjusted performance of all assets in our portfolio and look forward to further innovations as the overall economic environment changes and the market cycle evolves as part of our normal risk management processes," said Ardoino.

“For the second quarter, we have an extremely positive outlook and remain committed to transparency. To this end, we have introduced new categories in the breakdown of reserves in our quarterly report to provide even more transparency to our users,” he added.

According to The Block's Data Dashboard, Tether's USDT is the largest stablecoin on the market with a supply of over 83 billion tokens.