The world’s largest stablecoin issuer, Tether, reported roughly $10 billion in net profit for 2025, down about 23% from 2024. As it pursues a private fundraising initiative intended to elevate its valuation among global non-public companies.
Tether’s financial results for 2025 showed net profits of just over $10 billion, declining from the approximately $13 billion recorded in the previous year. The drop in earnings underscores a shift in the company’s performance amid evolving market conditions, reserve compositions, and a broader strategic pivot that includes courting outside capital.
Despite the profit decline, Tether continued to expand its operations significantly. During 2025, the company issued nearly $50 billion in new USDt tokens, helping push the stablecoin’s circulating supply to all-time highs above $186 billion — a testament to robust global demand for digital dollars outside traditional banking rails.
A key driver of Tether’s reserve strategy was a substantial increase in its U.S. Treasury holdings, which climbed to record levels above $122 billion by year-end. The tilt toward highly liquid, low-risk government debt likely provided stability but also exerted downward pressure on net returns compared with prior years’ portfolios.
Record USDt issuance and Treasury holdings accompany profit decline
The combination of rapid USDt growth, conservative asset allocation, and a changing macro backdrop contributed to the compression in profit margins. Meanwhile, Tether is in the midst of a private fundraising round that — if successful — would rank the company among the most highly valued private enterprises globally.
Tether’s role as a cornerstone of crypto liquidity, settlement, and dollar-pegged usage remains central to its long-term strategy.
However, the drop in annual profits raises questions about how the firm will balance reserve returns, investor expectations, and operational costs going forward in an evolving financial environment.
