Tether’s Financial Boom : $13B In Profit, $113B In Treasury Holdings

The crypto industry is evolving at a breakneck pace, and some players are managing to impose themselves well beyond their original ecosystem. Tether, the undisputed leader in the stablecoin market, has just released a financial report illustrating its rapid ascent. In 2024, the company recorded $13 billion in profits, while its reserves in U.S. Treasury bills surpassed $113 billion, making it one of the largest global holders of these securities. At the same time, the issuance of USD₮ reached a record high, with $45 billion injected into the market. While these performances confirm Tether’s financial solidity, they also raise questions about its macroeconomic impact and the regulatory challenges ahead.

Record profits and growing financial power

Tether ended 2024 with a net profit of $13 billion, an absolute record for the company. This performance largely relies on the increase in the value of its stocks, now valued at over $20 billion. Meanwhile, the company has strengthened its presence in traditional financial markets by accumulating $113 billion in U.S. Treasury bills, thereby consolidating its status among the largest global holders of these securities.

These results confirm the growing weight of Tether well beyond the crypto market. With colossal reserves and a controlled expansion strategy, the company is no longer limited to its role as a simple issuer of stablecoins. It has established itself as an influential player in the global financial system, attracting both institutional investors and the attention of regulators. For its supporters, these figures testify to Tether’s financial robustness and the viability of its business model. In contrast, some observers worry about the extent of its exposure to U.S. sovereign debt and mention a risk of excessive capital concentration that could amplify turmoil in the event of a major economic shock.

The record issuance of USD₮ and its implications

Throughout 2024, Tether intensified the issuance of its stablecoin USD₮, reaching a record volume of $45 billion injected into the market. In just the fourth quarter, the company issued an additional $23 billion, further strengthening its central role in the liquidity supply of crypto markets. This rapid growth reflects a rising demand for stablecoins, which are now indispensable in trading, decentralized finance (DeFi), and cross-border payments.

However, this massive expansion raises concerns about its systemic impact. With substantial holdings in U.S. Treasury bills, Tether is no longer merely fueling the crypto ecosystem; it is increasingly entangled in traditional finance. This interconnection enhances its influence but also increases potential risks in the event of a liquidity crisis or turmoil in the bond markets. In light of this power surge, international regulators are doubling down on vigilance. The rise of stablecoins represents a strategic issue, and many financial authorities advocate for stricter regulation to avoid potential monetary imbalances. While Tether’s dominance provides it with an undeniable competitive advantage, it could also attract stricter regulatory measures, which would call into question its long-term business model.

Tether’s exceptional results in 2024 reinforce its central role in the crypto industry, but also pose major challenges. Its growing influence, supported by record profits and an increased grip on financial markets, attracts both investors and regulators. The company will now have to balance expansion with institutional acceptability, as calls for greater transparency and oversight multiply. Its spectacular success grants it a strategic advantage, but could also accelerate the adoption of stricter regulatory measures. The question is no longer whether enhanced oversight will happen but to what extent it will redefine the future of Tether and the stablecoin market.