Stablecoin-issuer Tether posted $1.04bn in profit for the first quarter of 2026, according to its 1 May earnings report, boosting its reserves to a record $8.23bn as stablecoins continue to see steady demand.
Tether Q1 Profit Tops $1bn as Reserves Reach Record $8.2bn
1 May 2026 - 18:25 CEST
By Jona Jaupi
A stablecoin is a type of digital asset designed to hold a stable value by pegging it to a reserve asset, most commonly fiat currencies like the US dollar. Tether issues USDT, the largest stablecoin by market capitalization, at about $189bn.
The company reported total assets of $191.7bn and total liabilities of $183.5bn, bringing excess reserves to a record $8.23bn. Of its total liabilities, $183.4bn relate to digital tokens issued.
Tether said most of its reserves are held in short-term, liquid assets, including about $117bn in US Treasury bills and $24bn in short-term lending agreements. The firm also holds around $19.8bn in gold, $6.6bn in Bitcoin (BTC) and $15.8bn in secured loans, alongside smaller allocations to equities and other investments.
The mix suggests that the company relies mostly on cash-like assets and US government debt to back USDT.
"As of April, USDT continues to trade at or near all-time highs in circulation, with an increase of more than 5bn USDT," said Paolo Ardoino, CEO of Tether. "Reflecting sustained demand into the second quarter, reinforced also by the release of the Tether Wallet, The People's Wallet, a self-custody application built for the hundreds of millions of people in the world that use USDT daily as their lifeline."
Tether's growth comes as the stablecoin market has climbed to $320bn, up from $307bn in January. USDT currently maintains a 59% market dominance of total supply, according to data from DeFiLlama.
