Tether Holdings Limited, issuer of the world’s largest stablecoin USDT, on Thursday reported a $700 million profit made in the fourth quarter, as per its latest attestation report. The consolidated assets exceed its consolidated liabilities.
Stablecoin issuer Tether ended the year with zero commercial paper and at least $67 billion in consolidated total assets and excess reserves of at least $960 million. In addition, it also reduced its secured loans as promised before the end of the year and continues to work on the reduction of secured loans throughout 2023.
Paolo Ardoino, CTO of Tether, in a series of tweets on February 9 said the company has demonstrated a superior approach to risk management. It has helped the stablecoin issuer to maintain its leadership while consolidating profits.
“Not only were we able to smoothly execute over $21 billion dollars in redemptions during the chaotic events of the year, but Tether has on the other side issued over $10 billion of USDT, an indication of continued organic growth and adoption of Tether.”
The assurance report completed by BDO, a top five-ranked global independent public accounting firm, reveals consolidated total liabilities of over $66 billion, with 99.9% accounting for digital tokens issued.
Tether’s reserves remain liquid, with the majority held in cash, cash equivalents, and other short-term deposits. The direct exposure of US Treasury Bills jumps to over 58%, the highest percentage to date.
Paolo Ardoino also revealed that Tether is investing more in education, especially in emerging markets. The aim is to explain the huge difference between building for financial evolution vs speculation.
Market Cap of USDT Recovering
The market cap of USDT fell from $80 billion to $65.3 billion in November. However, the market cap has increased since December as Tether commits to reducing commercial paper exposure and secured loans.
Currently, USDT’s market cap is 68.19 billion. The recovery in the crypto market in January was supported by increased USDT transactions, helping recover the USDT market cap. Meanwhile, USD Coin (USDC) market cap has fallen to $41.5 billion.
Also Read: Bitcoin Price Fails To Price-In “Golden Cross”, Is Fall To $20K Next?
The post Breaking: Tether Reports $700 Mn Profit In Q4, Eliminates Commercial Paper Exposure appeared first on CoinGape.
- Mobile app
- Telegram Channel
- Telegram Group
- Binance Referral Link
- Bitmex Referral Link
- (Recommended For Leverage) ByBit Referral Link
- Buy Ledger Nano at discounted price
- Buy Cool Wallets at discounted price
Don't forget to share your review/suggestions for the android app.
All In One Crypto App is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by All In One Crypto App or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risks