Tether Records $2.85B Profit in Q4 2023, $6.2B Across the Year

Stablecoin company Tether disclosed a report unveiling noteworthy achievements in the final quarter of 2023, notably an augmentation in its cash reserves and quarterly profits.

It was emphasized that this quarter witnessed the highest proportion of reserves in cash and cash equivalents.

Tether Claims Large Amount of Cash Reserves

In a recent statement, it was revealed that Tether possesses total assets of around $97 million. However, its total liabilities fall approximately $5.5 million short of its assets.

“The Group’s consolidated total liabilities amount to US$ 91,597,732,663 of which US$ 91,572,956,801 relate to digital tokens issued.”

CEO Paolo Ardoino of Tether clarified that the attainment of the highest percentage of reserves in cash and cash equivalents stems from the company’s commitment to sustaining liquidity.

In the fourth quarter of 2023, Tether held $91.6 billion in native tokens, with approximately $82.06 billion in cash and cash equivalents.

“Tether’s Q4 attestation underscores our commitment to transparency, stability, and responsible financial management. Achieving the highest percentage of reserves in Cash and Cash Equivalents reflects our dedication to liquidity and stability.”

Tether Hits Another Milestone

BeInCrypto recently reported that Tether has minted 13 billion USDT since October 2023.

Read more: 7 Best Crypto Wallets to Store Tether (USDT)

Such a trend coincides with the upward price action observed in the crypto market in the last few months.

Historically, large-scale Tether minting events have been closely linked with significant price increases in Bitcoin.

However, Bitcoin’s price has seen a notable decline of 10% since mid-January, around the same time that the United States Securities and Exchange Commission (SEC) approved 11 spot Bitcoin ETF applications.

The recent minting raises questions about potential volatility in the near future.

Read more: A Guide to the Best Stablecoins in 2024

Meanwhile, the UN recently asserted that Tether is playing a significant role in crypto crime in Southeast Asia. However, Tether vehemently denies the claim.

Tether argues that the UN narrowly targeted USDT’s alleged illicit use, neglecting its support for overlooked emerging economies.

However, Tether has recently introduced a voluntary wallet-freezing policy to clampdown on the illicit use of USDT.

Introduced in December 2023, it allows the stablecoin issuer to voluntarily freeze wallets associated with individuals on the US Office of Foreign Assets Control (OFAC) Specially Designated Nationals (SDN) list.

The post Tether Records $2.85B Profit in Q4 2023, $6.2B Across the Year appeared first on BeInCrypto.

Source link