Tether published its third-quarter 2026 attestation on Friday, showing continued profitability despite a volatile year for the broader crypto market.
The company said USDT issuance remained broadly stable at around $184 billion through the first nine months of the year, while income from US Treasuries and other short-duration instruments continued to drive earnings.
Excess Reserve Near $8B
According to the attestation prepared by BDO and shared with CryptoPotato, Tether generated $1.5 billion in net operating profit in the past quarter, matching Q2 and bringing its total for the first nine months of the year to $4.5 billion. The most significant change came from the firm’s reserve buffer, which rose from $4.1 billion at the end of the previous quarter to almost $8 billion as of September 30, showing an increase of roughly $3.8 billion.
The company’s total reserve assets stood at $191.5 billion, compared with liabilities of approximately $183.5 billion. Most of those assets remain concentrated in highly liquid instruments. $132.4 billion was in direct and indirect US Treasury bills, while Treasury bills and reserve repurchase agreements continued to account for the majority of Tether’s operating income.
“Generating $1.5 billion in net operating profit while maintaining nearly $8.0 billion in excess reserves gives us a strong foundation for that work. We are building Tether for the long term, with the liquidity to meet redemptions and the financial strength to support infrastructure people can rely on amidst the chaotic geopolitical environment we live in. The purpose behind our reserve strategy is to ensure we can continue to serve people when conditions become more difficult,” commented CEO Paolo Ardoino.
He added that the growing buffer was designed to ensure USDT remains reliable during periods of market and financial stress.
USDT’s Stablecoin Reign
The figures above come as USDT continues to dominate the stablecoin market, although recent supply trends have shown signs of cooling. As we reported earlier this month, USDT’s market cap fell by almost $1 billion within a five-day period, with CryptoQuant analysts warning that Bitcoin’s rebound was taking place without the same stablecoin-liquidity expansion that supported previous rallies.
That does not necessarily point to problems at Tether and its stablecoin, but it highlights how closely stablecoin issuance remains tied to broader market liquidity.
Meanwhile, Tether recently signed an agreement with Kazakhstan’s central bank to explore a tenge-backed stablecoin and potential tokenization initiatives, while also investing in payments infrastructure across Latin America.
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