TLDR
- Tether holds nearly $120B in U.S. Treasuries.
- Q1 profit tops $1B, backed by Treasury gains.
- USD₮ supply grew by $7B; 46M new wallets.
- $5.6B in excess reserves boosts stability.
- Now licensed in El Salvador under new rules.
Tether International, S.A. de C.V. (TI) has released its Q1 2025 attestation, verified by BDO, a top-five global independent accounting firm. The report confirms the accuracy of the company’s Financials Figures and Reserves Report (FFRR), offering a detailed view of the assets backing its fiat-denominated stablecoins. As of March 31, 2025, Tether reported a record total exposure to U.S. Treasuries nearing $120 billion. This figure includes both direct holdings and indirect exposure through Money Market Funds and reverse repurchase agreements.
Tether published its Q1 2025 attestation, showing that as of March 31, 2025, Tether’s total exposure to U.S. Treasuries reached a record high of nearly $120 billion. Additionally, its total assets exceeded $149.27 billion, with liabilities at $143.68 billion, resulting in assets…
— Wu Blockchain (@WuBlockchain) May 1, 2025
This development marks a significant step in Tether’s reserve strategy, emphasizing stability and liquidity. The company also reported over $1 billion in operating profit for the quarter, mainly from gains in its U.S. Treasury portfolio. Despite volatility in the crypto market, the performance of gold helped cushion potential losses, contributing to a balanced financial outcome.
Surplus Reserves and Growth in USD₮ Circulation
Tether ended Q1 2025 with excess reserves of $5.6 billion, which support its risk management policies and liquidity framework. These reserves are held beyond the assets backing issued tokens, further strengthening the company’s financial base. Total assets were reported at approximately $149.27 billion, while liabilities stood at $143.68 billion. Of these liabilities, $143.67 billion directly relate to digital tokens issued.
Circulating supply of Tether’s USD₮ stablecoin increased by $7 billion during the quarter. The number of user wallets grew by 46 million, reflecting a 13% increase from the previous quarter. These figures indicate rising adoption of USD₮ as a trusted digital asset for entering global financial systems.
Strategic Investments and Regulatory Supervision
In addition to its core stablecoin operations, Tether reported more than $2 billion invested in long-term initiatives through Tether Investments. These initiatives span renewable energy, artificial intelligence, peer-to-peer communication technologies, and digital infrastructure. However, these investments are not included in the reserves backing USD₮ and remain separate from Tether’s core reserve assets.
The first quarter of 2025 also marked Tether’s first full quarter under regulatory oversight in El Salvador. The company is now licensed as a stablecoin issuer under the country’s Digital Assets framework. This development aligns with Tether’s goal of operating within transparent and compliant regulatory structures across different markets.
Futures Outlook
Tether’s Q1 2025 performance underscores its growing financial position and operational scale. With record-breaking exposure to U.S. Treasuries, increased operating profit, and significant user growth, the company continues to expand its role in bridging traditional finance with digital assets. The report confirms that Tether maintains full asset backing for its stablecoins, alongside strategic investments and regulated operations.
