Tether’s 2023 profits worth $6.2B surpass Netflix, Uber, Disney – How?

The reason behind Tether’s success

Ardoino highlighted USDT as Tether’s main product. It was the largest stablecoin with a market cap of 96,475,135,178 at press time, according to CoinMarketCap.

The CEO revealed that in 2023, Tether achieved approximately $4 billion in net operating profits from U.S. Treasury bills and an additional $2.2 billion from well-timed investments in gold and Bitcoin [BTC].

Beyond its impressive financials, Tether boasted a corporate reserve of $5.4 billion, per the official report released on the 31st of January. This is separate from the 100% reserves held to back its issued tokens. 

Ardoino emphasized,

“We created the first over-collateralized bank right, so that’s also why not all the banks are happy with what we are doing just because we are showing that you can make good money and not be greedy and not risk customer assets.”

Tether’s assets confirmed

For years, the integrity of USDT has been a focal point of scrutiny within the crypto market. However, Howard Lutnick, CEO of Cantor Fitzgerald, substantiated its stability and reliability last month.

At the World Economic Forum in Davos, Switzerland, Lutnick told Bloomberg TV,

“I’ve seen a whole lot, and the firm has seen a whole lot, and they have the money. And so there has always been a lot of talk about ‘Do they have it or not?’ and I’m here with you guys, and I’m telling you we’ve seen it and they have it.”

As the custodian of Tether’s assets, Cantor Fitzgerald has reviewed Tether’s balance sheet.

It reported approximately $86 billion in assets at the end of June, providing backing for about $83 billion of its USDT stablecoin.

Crypto’s mainstream adoption

Ardoino attributed the acceptance of digital currencies among CEOs of major financial companies worldwide to the persistent efforts of the community to legitimize this asset class.

This has culminated in significant milestones such as the approval of Bitcoin exchange-traded funds [ETFs] and the rapid expansion of stablecoins.

He also pointed out the disparity in financial access between countries like the United States and countries with high inflation rates and limited banking access.

However, it aligned differently with the desires of a 2024 society, where individuals seek unfettered access to their finances globally.

The exec remarked,

“The beauty of having access anywhere in the world to your finances, just remembering 24 words, is one of the best innovations that humanity ever created.”

The CEO pointed out that Tether aimed to offer a digital checking account to those traditionally underserved by the banking system.

Next: Why Bitcoin’s rally to $52k is not impossible

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