TLDR
- Tether purchased 8,888 BTC worth $735 million on the last day of Q1 2025
- This acquisition brings Tether’s total Bitcoin holdings to 100,521 BTC (approximately $8.29 billion)
- Tether allocates 15% of its profits to Bitcoin purchases as part of its reserve strategy
- The company reported a record profit of $13.7 billion last year
- Tether controls 61% of the stablecoin market with a $144 billion valuation
Tether’s Latest Bitcoin Acquisition
Tether, the company behind the USDT stablecoin, has expanded its Bitcoin holdings with a new purchase of 8,888 BTC. The acquisition, worth $735 million, was made on the last day of Q1 2025.
The transaction was completed on Monday at 20:58 UTC. Data from Arkham Intelligence shows that Tether withdrew the Bitcoin from Bitfinex, a crypto exchange and its sister company.
This purchase is part of Tether’s ongoing investment strategy. The company has committed to allocating 15% of its profits to Bitcoin purchases, a pledge it made in May 2023.
Growing Bitcoin Reserves
With this latest addition, Tether’s total Bitcoin holdings have reached 100,521 BTC. This amounts to approximately $8.29 billion at current market prices.
The new acquisition reinforces Tether’s position among the largest Bitcoin holders. It now ranks as the sixth-largest wallet holding Bitcoin.
Among private firms, Tether is now the second-largest holder of Bitcoin. Only Strategy (formerly MicroStrategy) and the top three US Bitcoin spot ETF issuers – BlackRock, Fidelity, and Grayscale – hold more Bitcoin than Tether.
This purchase follows Tether’s previous acquisition of 8,404 BTC in December. That earlier purchase brought its holdings to 83,759 BTC at the time.
Stablecoin Market Dominance
Tether has established itself as the dominant player in the stablecoin market. The company now controls 61% of the entire stablecoin supply.
USDT has a market valuation of $144 billion. This far outpaces competitors such as USD Coin (USDC), which has a market cap of $60 billion.
The overall stablecoin sector has a total valuation of $234 billion. Tether’s position gives it major influence in this growing market.
The company reported a record profit of $13.7 billion last year, according to its Q4 2024 report. It issued $45 billion in USDT, cementing its position as the biggest stablecoin issuer.
Tether just released the attestation for Q4 2024.
Highlights as of 31st December 2024:
– $13.7 billion profit for year 2024
– ~$6 billion profit for Q4 2024
– $113 billion in direct and indirect holdings
– $7 billion in Tether's excess stablecoin reserves (36% increase YoY),… https://t.co/izYONstKuF— Paolo Ardoino 🤖 (@paoloardoino) January 31, 2025
To ensure full backing of its stablecoin, Tether maintains $7 billion in excess reserves. This provides additional security for USDT holders.
On the same day as the Bitcoin acquisition, Tether minted fresh $1 billion USDT on the Tron network. This was confirmed by Tether’s CEO, Paola Ardoino.
The new USDT was described as “authorized but not issued” minting on the Tron network. It will serve as inventory for future issuance requests.
Tether has minted $8 billion USDT on the Tron network since the start of 2025. Over the past year, it has minted a total of $22 billion USDT on Tron.
Despite this growth, the Tron blockchain’s total authorized transaction value of $66.7 billion still trails behind Ethereum. The Ethereum network has $75.9 billion in authorized transactions.
Tether’s investments extend beyond cryptocurrencies. On March 27, the company increased its stake in Adecoagro, a Latin American agricultural firm, to 70%.
This investment aligns with Tether’s policy of supporting companies that promote economic freedom. The company focuses particularly on businesses in emerging markets.
Tether has also announced plans to purchase a 30% stake in the Italian media company Be Water. This reflects its strategy to diversify investments across different industries.
In traditional markets, Tether became 2024’s seventh-largest buyer of U.S. Treasury securities. Its $33.1 billion investment in treasuries puts its holdings ahead of nations like Canada, Mexico, and Germany.
Among Tether’s other on-chain assets are $5.16 billion in USDT, $215.85 million in XAUT, and $46.17 million in AUSDF. These holdings further diversify the company’s reserve portfolio.
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