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Tether Holdings Limited has reported profits exceeding USD 13 billion for 2024, alongside significant growth in its U.S. Treasury holdings and stablecoin circulation, according to its fourth-quarter attestation report conducted by BDO.
The stablecoin issuer's U.S. Treasury holdings reached USD 113 billion in direct and indirect exposure, positioning the company among the largest holders of U.S. government debt globally. Notably, Cantor Fitzgerald, a prominent financial services firm led by Howard Lutnick, plays a crucial role in managing these Treasury holdings for Tether. This partnership has deepened recently, with Cantor Fitzgerald reportedly acquiring a 5% stake in Tether for approximately $600 million via.a convertible bond..
Howard Lutnick, CEO of Cantor Fitzgerald and President Trump's nominee for Secretary of Commerce, has been a vocal advocate for Tether and its stablecoin USDT23. During his recent Senate confirmation hearing, Lutnick defended Tether against accusations of facilitating illicit activities, arguing that blaming Tether for criminal use of its stablecoin is akin to “blaming Apple because criminals use Apple phones”.
The company's consolidated total assets stood at USD 157.6 billion against liabilities of USD 137.6 billion as of 31 December 2024.
The report reveals that Tether's excess reserve buffer surpassed USD 7 billion for the first time, representing a 36 percent increase year-on-year. The company issued over USD 23 billion in USD₮ during the fourth quarter, contributing to a total issuance of USD 45 billion for the year - a figure that nearly matches the entire market capitalisation of its closest competitor.
Paolo Ardoino, CEO of Tether, commented on the results: "Tether's Q4 2024 attestation reinforces our position as a global leader in financial transparency, liquidity, and innovation. With U.S. Treasury holdings surpassing $113 billion, a reserve buffer exceeding $7 billion, and $45 billion in new token issuance for the year, Tether continues to set the gold standard for stability and trust in the digital assets space. The Group Equity surpassed $20 billion."
The company's financial performance was bolstered by approximately USD 5 billion in unrealised profits from gold and Bitcoin holdings, while Treasury investments and repo agreements generated USD 7 billion. Additional traditional investments contributed a further USD 1 billion to the group's results.
During the quarter, Tether also secured a stablecoin issuer and Digital Asset Service Provider licence in El Salvador, where it has established its new headquarters. The company's proprietary investments span sectors including renewable energy, Bitcoin mining, artificial intelligence, telecommunications, and education, though these investments are not counted as part of the reserves backing its stablecoin.
The attestation confirms that the reserves backing Tether tokens in circulation amount to USD 143.7 billion, exceeding the USD 136.6 billion in liabilities related to digital tokens issued. This surplus contributes to the company's USD 7.1 billion excess reserve buffer, which serves as an additional security measure for token holders.
Lutnick has suggested implementing more intensive auditing demands and the use of law-enforcement AI tools to combat illicit activities involving stablecoins like USDT. This comes as Tether faces ongoing scrutiny from regulators and lawmakers, including Senator Elizabeth Warren, who has raised concerns about Lutnick's ties to Tether and its potential impact on his role as Commerce Secretary.
The amount of Tether in circulation can be viewed here:
