Even though it made $1.3 billion in Q2 2024, Tether, a big stablecoin issuer, has stopped buying Bitcoin. Crypto enthusiasts are wondering why the company will keep its current reserve amounts.
The financial report for Tether showed that it had a net worth of $11.9 billion and $97.6 billion in US Treasury securities. In the second quarter of 2024, Tether issued $8.3 billion in USDT.
Its assets were higher than its debts, which showed that it was in good financial shape. Paolo Ardoino, CEO of Tether, said that the reserve report is mostly about the companies that are releasing the stablecoin.
During Q2 2024, Tether’s investment arm continued to buy Bitcoin, but the report doesn’t go into detail about these deals. The financial results for Q2 2024 for Tether show that it is very good at making money and managing its assets.
The company had $118.4 billion in reserves for Tether tokens in circulation, but it also owed $113.1 billion, so it had a net asset over liability cushion of about $5.3 billion. It is stressed that Tether is committed to openness and stability and that it is becoming more important in fields like AI, biotech, and telecommunications.
In June, Tether, the most valuable stablecoin in market capitalization, introduced a new digital asset called aUSDT, backed by over-collateralized Tether Gold (XAUT). This is the first product from Tether’s Alloy by Tether service, which includes a new category of tethered assets.
