Tether International said first-quarter profit reached $1.04 billion and excess reserves rose to a record $8.23 billion, as demand for its dollar-pegged stablecoin held steady amid volatile markets.
The issuer of USDT reported total assets of about $191.8 billion and liabilities of roughly $183.5 billion as of March 31, according to a quarterly attestation prepared by BDO. Token-related liabilities accounted for nearly all of the total, with circulation broadly unchanged at around $183 billion, the company said.
The results come as stablecoins gain traction beyond crypto trading, increasingly used for cross-border payments and dollar access. Industry adoption has accelerated in recent months, including expanded settlement initiatives across multiple blockchain networks.
Tether said reserves remain concentrated in short-duration, high-quality liquid assets, with about $141 billion in direct and indirect exposure to U.S. Treasury bills. The firm said it is the 17th-largest holder of Treasuries globally, reflecting its growing role in channeling demand for dollar-denominated assets.
Excess reserves increased from about $6.3 billion at the end of 2025, supported by continued profitability. The company reported more than $10 billion in net income for full-year 2025.
Holdings also include about $20 billion in physical gold and roughly $7 billion in bitcoin, part of a strategy aimed at balancing liquidity with exposure to assets that may perform during market stress.
The company said its assets exceeded liabilities by about $8.23 billion at the end of the quarter. Tether added that proprietary investments made through a separate unit are funded from excess capital and are not included in reserves backing USDT.
The attestation marks a step toward a full audit, which the company said began during the quarter.