Tether Estimates Net Profits for 2024 to Exceed $10 Billion

Tether Poised for $10 Billion Net Profit in 2024

Tether, the largest issuer of stablecoins globally, is on track to close 2024 with over $10 billion in net profits, according to CEO Paolo Ardoino. This remarkable achievement underscores Tether's growth and its strategic approach to investments in diversified industries.

Driving Forces Behind Tether’s Record Profit

Surging Market Valuation

Tether's market valuation grew by $50 billion, reaching nearly $140 billion this year. This surge is attributed to:

• Increased adoption of USDT, Tether’s flagship stablecoin pegged to the U.S. dollar.
• The rise of bitcoin and other cryptocurrencies to historic highs.

A recent report revealed that 109 million wallets now hold USDT, marking a significant adoption milestone and solidifying its position as the largest stablecoin by market capitalization.

Profitable Reserve Investments

Tether generates the majority of its profits by strategically investing its reserves in:

• U.S. Treasuries
• Gold
• Other securities

Strategic Investments in 2024

Tether reinvested over half of its profits this year into various sectors, including:

• Rumble: A $775 million investment in the video-sharing platform.
• Biotech: Funding innovative advancements in health and science.
• Bitcoin Mining: Expanding its foothold in the cryptocurrency ecosystem.

CEO Ardoino revealed plans for 2025, stating:

“Next year we plan to deploy at least half of the profits in investments, including AI.”

Positioning for Growth in the U.S.

Tether is actively exploring opportunities in the U.S. as cryptocurrency legislation is expected to improve under President-elect Donald Trump’s administration.

• Cantor Fitzgerald, a key custodian of Tether's reserves, purchased a stake in the stablecoin issuer.
• Howard Lutnick, Cantor Fitzgerald’s CEO and Trump’s pick for Commerce Secretary, is expected to foster a favorable regulatory environment for crypto.

Outlook for 2025

Tether's robust profits and diversified investments position it as a leader in the crypto industry. With a focus on AI, biotech, and broader market opportunities, the company is charting a path of innovation and resilience.

As the stablecoin market matures and regulations evolve, Tether’s bold strategy may solidify its dominance in the global financial landscape.