Tether reported more than $10 billion in net profits for the fourth quarter of 2025, alongside $6.3 billion in excess reserves and a U.S. Treasury exposure exceeding $141 billion, according to its latest attestation. The figures underscore the growing scale and profitability of the world’s largest stablecoin issuer.
The results highlight how higher interest rates and expanding reserve holdings continue to bolster earnings for major stablecoin operators.
Key Takeaways
- Tether generated over $10 billion in net profits in Q4 2025.
- Excess reserves reached $6.3 billion.
- Total exposure to U.S. Treasuries exceeded $141 billion.
- The attestation reinforces Tether’s dominant position in stablecoins.
Strong Profits Driven by Reserve Income
In its Q4 2025 attestation, disclosed that elevated yields on U.S. government debt were a major contributor to profitability. With a significant portion of reserves held in short-term Treasuries, higher interest income has become a key earnings driver.
According to coverage by, stablecoin issuers have increasingly benefited from the rate environment, turning reserve management into a substantial revenue source.
U.S. Treasury Exposure Expands Further
Tether said its total exposure to U.S. Treasury bills surpassed $141 billion by the end of the quarter, reinforcing its strategy of prioritizing highly liquid and low-risk assets. The company has repeatedly emphasized Treasuries as the backbone of its reserve composition.
This level of exposure places Tether among the largest holders of U.S. government debt globally, comparable to major institutional investors.
Excess Reserves Add Buffer
The attestation also showed $6.3 billion in excess reserves, providing an additional cushion beyond liabilities linked to issued stablecoins. Excess reserves are often cited as a measure of financial resilience, particularly during periods of market stress.
Analysts quoted by note that surplus capital can help strengthen confidence in stablecoin pegs during volatility.
Implications for the Stablecoin Market
Tether’s results arrive as regulators and market participants continue to scrutinize stablecoin transparency and systemic impact. Large profits and growing Treasury holdings may intensify discussions around oversight, disclosure standards, and the role of stablecoins in traditional financial markets.
At the same time, the figures highlight how scale advantages have allowed leading issuers to consolidate their dominance.
What To Watch Next
- Changes in Tether’s reserve composition in future attestations.
- Regulatory developments affecting stablecoin issuers.
- Interest rate trends and their impact on stablecoin profitability.
This article is for informational purposes only and does not constitute financial advice.