2023-05-11
Tether
Holdings Limited, the company behind the USDT stablecoin, has published its Q12023 Consolidated Reserves Report, revealing an all-time high of $2.44 billion
in excess reserves, up $1.48 billion from the previous quarter. The report also
shows an increase in token circulation by 20%, indicating growing trust from
Tether's customers.
The
Consolidated Reserves Report (CRR) breaks down the assets held by Tether,
providing additional categories to increase transparency. The report shows that
the majority of Tether's reserves are invested in US Treasury Bills, with the
rest held in cash, cash equivalents, and other short-term deposits. Physical
gold, overnight Repo, corporate bonds, and Bitcoin ownership are reported
separately, with gold and Bitcoin representing approximately 4% and 2% of the
total reserves, respectively.
Tether has
been working to reduce its reliance on pure bank deposits and has instead
leveraged the Repo market to ensure higher standards of protection for its
users. The report also demonstrates Tether's commitment to transparency,
highlighting a 25% reduction in secured loans from 8.7% to 6.5% of this asset
class within the overall reserves.
Overall, the Q1 2023 report shows that Tether's consolidated assets exceed its consolidated liabilities, with the company closing the quarter with $81.8 billion in total assets. The increase in net profit and excess reserves indicates a strong performance for Tether in the first quarter of 2023, leading to optimism for the company's future.
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