Although Tether has long been the dominant issuer of dollar-pegged tokens, its recent financial disclosures and the announcement of a U.S.-focused stablecoin mark a notable inflection point for the company and the broader stablecoin market. The issuer reported market capitalization near $183 billion and a circulating supply exceeding 183 billion USDT coins as of early November 2025, figures that underscore its scale, while year-to-date net profits surpassed $10 billion by Q3 2025, reflecting substantial profitability. Excess reserves increased to roughly $6.8 billion, and exposure to US Treasuries rose to about $135 billion, indicating a conservative tilt in asset backing that can support token stability under stress. These metrics frame Tether’s declared ambition to target a valuation substantially higher than present levels, ambitions that rely on continued issuance growth and market share retention.
Tether’s operating performance through 2025 reinforced perceptions of financial strength, with more than $10 billion in profits for the first nine months and Q2 alone contributing about $4.9 billion, outcomes that derived from persistent quarter-over-quarter expansion and sizeable token issuance. The company issued some $17 billion in new USDT during Q3 2025, a pace that expanded digital dollar liquidity and reinforced its approximately 70% stablecoin market share, while USDT accounted for roughly 80% of stablecoin payment volumes year-to-date. Such dominance supports revenue generation and investment capacity, and Tether has signaled plans to deploy profits into AI, energy, and peer-to-peer communications, moves consistent with diversification strategies employed by large private financial services firms. The company also reported excess reserves of approximately $6.8 billion as a financial buffer. The firm also claims it is one of the largest buyers of Treasury bills globally.
The announced USAT stablecoin, slated for December 2025 and to be issued with Anchorage Digital, is positioned to target U.S. users and aims to reach about 100 million Americans, reflecting a domestic expansion strategy distinct from global USD₮ distribution. Planned partnerships or acquisitions to accelerate adoption mirror prior strategic stakes, and the initiative coincides with regulatory and legal realities, including a settled 2021 dispute with the New York Attorney General and ongoing scrutiny over reserve transparency. Observers should note that while balance-sheet metrics and reserve allocations suggest resilience, regulatory clarity and public confidence remain material risks to valuation and adoption.
