Key Insights:
- Tether recorded year-to-date net profit exceeding $10 billion through September 2025.
- The stablecoin issuer held approximately $135 billion in US Treasuries as of September 30, making Tether the 17th-largest holder of US government debt worldwide and surpassing South Korea.
- USDT circulation reached $174.4 billion after Tether issued $17 billion in new tokens during Q3 2025, with excess reserves standing at $6.78 billion.
Tether published its attestation report for the third quarter on October 31, confirming that year-to-date net profit surpassed $10 billion for the nine months ended September 30.
The financial performance placed Tether among the world’s most profitable private companies. The firm distributed nearly $10.4 billion in dividends during the first three quarters of 2025, exceeding its net profit for the period.
Tether US Treasury Holdings Jump $8B from Q2
The company’s total exposure to US Treasuries reached an all-time high of approximately $135 billion at the end of the quarter. Direct holdings of US Treasury Bills stood at $112.4 billion, up from $105.5 billion in the second quarter.
The third quarter increase represented approximately $7 billion in additional direct Treasury exposure.
Combined with $4.7 billion held indirectly through money market funds and nearly $18 billion in Treasury-backed reverse repurchase agreements, total exposure exceeded $135 billion.
This positioned Tether as the 17th largest holder of US government debt globally, surpassing South Korea’s holdings. The second quarter saw total Treasury exposure exceed $127 billion, representing an $8 billion quarterly increase.
The attestation showed Tether maintained $181.2 billion in total reserves backing USDT and other fiat-denominated tokens. Total assets grew from $149.3 billion in the first quarter to $181.2 billion by September 30.
Q3 Profit Surges After Strong Q2 Performance
Tether’s third-quarter net profit reached approximately $3.3 billion, calculated from its year-to-date figure of over $10 billion. The first quarter delivered roughly $1 billion in operating profit, while the second quarter posted $4.9 billion in net profit.
The performance for the second quarter included $3.1 billion in operating income and $2.6 billion in mark-to-market gains from Bitcoin and gold holdings.
The three-quarter trajectory demonstrated accelerating profitability throughout 2025.
Liabilities totaled $174.4 billion at the end of the third quarter, up from $143.7 billion at the end of the first quarter.
The increase corresponded directly with the expansion of token issuance, as demand for USDT surged throughout the year.
Tether issued more than $17 billion in new USDT during the third quarter. The total circulating supply reached $174.4 billion as of September 30, compared to more than $157 billion at the end of the second quarter.
The first quarter saw $7 billion in new USDT minted. The second quarter added $13.4 billion in issuance, bringing year-to-date minting above $20 billion by mid-year. The third quarter’s $17 billion represented the strongest quarterly performance of the year.
The stablecoin issuer’s user base surpassed 500 million globally during the quarter. USDT remained available on 13 discrete blockchains, including Ethereum, Tron, and Solana.
Excess reserves stood at nearly $6.8 billion at September 30, up from $5.6 billion in the first quarter. Around $5.47 billion in shareholder capital reported at the end of the second quarter. The buffer represented approximately 3.9% above token liabilities.
Reserve Composition Shifts Toward Treasuries
Cash and cash equivalents accounted for approximately $140 billion of total reserves at the end of the third quarter. It represented 77.2% of assets. This marked a decrease from 81.5% in the first quarter as Tether diversified into alternative assets.
Precious metals holdings surpassed $12.9 billion by September 30. Gold holdings stood at $6.7 billion in the first quarter, up from $5.3 billion in the prior quarter.
The near-doubling to $12.9 billion by the third quarter reflected concentrated accumulation.
Bitcoin reserves stood at $9.8 billion, valued at $114,160 per BTC on September 30.
Secured loans totaled $14.6 billion, fully collateralized by liquid assets.
The attestation noted that Tether completed the settlement of Celsius bankruptcy litigation in October 2025 using proprietary investment capital.
The settlement payment did not draw from reserves backing tokens in circulation.
Tether relocated from the British Virgin Islands to El Salvador in January 2025.
The company obtained authorization as a stablecoin issuer and digital assets service provider under El Salvador’s Digital Asset Issuance Law.
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