Tether News: Q2 Profit Hits $1.5B as USDT Supply Reaches $184.6B

USDT circulation closed the quarter at approximately $184.6 billion, up $446 million from March.

Balance sheet mechanics

Total assets stood at $187.75 billion against liabilities of $183.64 billion. Digital tokens issued accounted for $183.62 billion of reported liabilities. The residual produced a $4.11 billion excess reserve buffer, down from $8.23 billion at the close of Q1. Tether's filing recorded a $3.17 billion financial loss alongside $943 million in net capital inflows — the combination that drove equity lower despite the positive second-quarter operating profit.

Reserve composition and rate exposure

Direct U.S. Treasury bills totaled $114.96 billion. Overnight reverse repos added $18.63 billion; term reverse repos $6.99 billion. Cash equivalents and other short-term deposits reached $140.64 billion, roughly three-quarters of reported reserve assets. The U.S. Treasury reported three-month bill yields near 3.7% on June 30, with the Federal Reserve holding a 3.50%–3.75% target range. That policy backdrop continued to drive interest income.

Secured lending fell by $2.38 billion, or 15%, to $13.45 billion. Tether valued the book at amortized cost and described positions as overcollateralized.

Mark-to-market exposure outside the T-bill book

Tether added 14 metric tons of physical gold, pushing total holdings above 146 tonnes. Bitcoin holdings were valued at approximately $5.8 billion at quarter-end. Both assets introduce valuation risk absent from short-dated U.S. government debt.

Audit posture and disclosure gap

BDO Advisory Services issued reasonable assurance over the reserves report but limited its opinion to balances at a single date — June 30. The firm did not assess activity before or after that point. The filing stops short of a full audit of financial statements; Tether acknowledged the report lacks disclosures required for full IFRS compliance. Preparations for a Big Four audit continue; no completion date was disclosed.

Supply and market position

USDT's $184.6 billion circulation represented over 60% of global stablecoin supply at quarter-end, even as the wider stablecoin sector contracted during the period. Tether added more than 30 million users globally in Q2. Separately, U.S.-focused USAT deployed to Celo as its second mainnet following Ethereum; CIP-64 allows approved ERC-20 tokens including USAT to pay native gas fees on the network.

Systemic reading

The excess reserve compression from $8.23 billion to $4.11 billion reflects asset revaluation and capital flows, not redemption pressure. The buffer remains positive. Q3 Treasury-yield trajectory and any BDO scope expansion are the variables to track. Gold and Bitcoin volatility now flow directly into reported equity.