Tether Excess Reserves Surge by 850 Million Dollars, Reaching 3.3 Billion Dollars: Leading Stablecoin Unveils 72.5 Billion Dollars Overall Exposure in US T-Bills and Energy Project

Tether excess reserves, a leading stablecoin issuer, has released its assurance opinion for Q2 of 2023, which was conducted by BDO, a top-ranked global independent public accounting firm. The attestation reconfirms the accuracy of Tether’s Consolidated Reserves Report (CRR) as of June 30, 2023. The CRR provides increased transparency into Tether’s reserves, including its indirect exposure to US Treasuries (through Money Market Funds) and its exposure to US Treasuries collateralizing its Overnight Repo.

Tether Excess Reserves Surge by 850 Million Dollars, Reaching 3.3 Billion Dollars: Leading Stablecoin Unveils 72.5 Billion Dollars Overall Exposure in US T-Bills and Energy Project

In line with its commitment to openness, Tether reveals an increase in its excess reserves of approximately $850 million, bringing the total excess reserves to around $3.3 billion by the end of Q2. This move reinforces the stability of Tether, as excess reserves represent the company’s profits retained in addition to the 100% reserves backing all outstanding tokens.

Amid recent banking and crypto industry issues, with some players undercollateralized, Tether demonstrates responsible risk management by keeping almost an additional 4% of assets within its reserves, ensuring strength and security for its community.

During Q2 of 2023, Tether’s operational profits amounted to over $1 billion, showing a significant 30% increase quarter over quarter. Additionally, the company discloses a share buyback of $115 million, a positive sign of consolidation to strengthen the shareholder group. Tether has also invested in energy-related initiatives using the profits from this quarter. These investments are not considered eligible reserves for the tokens in circulation and are not included in the CRR.

Tether’s reserves remain highly liquid, with 85% of its investments held in cash and cash equivalents. The latest report provides detailed information about Tether’s direct and indirect exposure to US Treasury bills, totaling approximately $72.5 billion in Treasuries backing Tether’s stablecoins.

The Consolidated Reserves Report, along with the independent attestation from BDO, confirms that Tether’s consolidated assets continue to exceed its consolidated liabilities.

As of June 30, 2023, the Management of the Company asserts the following:

• The Group’s consolidated total assets amount to at least US$ 86,499,251,218.
• The Group’s consolidated total liabilities amount to US$ 83,200,775,340, of which US$ 83,178,020,411 are related to digital tokens issued.
• The Group’s consolidated assets surpass its consolidated liabilities.