Tether, the company behind the world’s most traded stablecoin USDT, quietly expanded its Bitcoin holdings this week in a move that signals continued conviction in the asset despite market turbulence.
- Tether added nearly $1 billion in Bitcoin to its reserves, now holding 87,296 BTC.
- The company is now the sixth-largest Bitcoin holder worldwide.
- Its unrealized profit from Bitcoin holdings is estimated at $4.55 billion.
On-chain data shows that the firm executed two large transfers from Bitfinex wallets to its main Bitcoin reserve address, totaling roughly $1 billion.
The transactions, first highlighted by Arkham Intelligence, began with a withdrawal of 961 BTC valued near $97 million. Hours later, an additional 8,888 BTC—worth just over $1 billion—was shifted from Bitfinex, which shares ownership ties with Tether. These new allocations bring the stablecoin issuer’s total Bitcoin reserves to 87,296 BTC, making Tether the sixth-largest holder globally.
Buying the Dip as Bitcoin Rebounds Above $102,000
Bitcoin’s price dipped below the $100,000 mark earlier this week before bouncing back with a modest recovery. While ETFs linked to Bitcoin and Ethereum experienced multi-day outflows, Tether’s decision to add to its reserves appears to be a calculated move to capitalize on the pullback. At the time of writing, Bitcoin was trading around $102,000—up roughly 3% from its recent low.
Tether’s accumulation strategy, in place since 2023, involves directing 15% of its net profits into Bitcoin. This ongoing commitment, typically executed at the end of each quarter, was accelerated mid-quarter this time—an unusual timing that analysts interpret as a signal of confidence rather than routine reserve balancing.
$4.55 Billion in Unrealized Gains
According to Bitcoin Treasuries data, Tether’s average acquisition cost per BTC is estimated at $49,121. With current market prices above $102,000, the firm’s unrealized profit sits at approximately $4.55 billion. That figure puts Tether’s Bitcoin position on par with major corporate and institutional holders such as MicroStrategy and Galaxy Digital.
Among private companies, only Block.one holds a larger balance, currently sitting on 140,000 BTC. Meanwhile, ETFs remain the dominant category of institutional holders, collectively controlling more than 7% of Bitcoin’s circulating supply—about 1.53 million BTC.
Tether’s Expanding Financial Footprint
Tether’s growing Bitcoin reserves complement its strong financial performance. Its latest attestation report revealed over $10 billion in net profit by the end of September. The company reported total reserves of $181.2 billion against $174.4 billion in liabilities, resulting in an excess of $6.8 billion.
With a total USDT market capitalization of $183.3 billion, Tether continues to lead the stablecoin sector—well ahead of Circle’s $75 billion USDC. Most of USDT’s circulation remains split between Ethereum and Tron, which host roughly 48% and 42% of the supply, respectively.
A Strategic Hedge Against Inflation
By reinforcing its Bitcoin position, Tether is further solidifying its role as both a liquidity provider and long-term investor in digital assets. The firm views Bitcoin not just as a speculative asset, but as a cornerstone of its inflation-hedging and balance sheet diversification strategy.
As traditional markets waver and institutional capital shifts within ETFs, Tether’s timing suggests it’s not just holding the line—it’s betting on Bitcoin’s resilience.
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Source: https://coindoo.com/tether-quietly-adds-1b-in-bitcoin-now-the-sixth-largest-holder/