Tether, the largest issuer of stablecoins, announced in May last year that it would regularly allocate 15% of its net profits to buy Bitcoin. Since then, its holdings have continued to grow, making it the 10th largest holder of Bitcoin with a staggering 66,465 BTC, worth approximately $2.996 billion. This represents almost a doubling in value compared to the first quarter of last year, when its Bitcoin holdings were worth $1.5 billion.
In a recent report, it was revealed that Tether has become the 10th largest holder of Bitcoin. This achievement comes after Tether withdrew around $379 million worth of Bitcoin, totaling 8,888.88 BTC, from the Bitfinex exchange. Interestingly, the number 8888.88 seems to signify a celebration for the upcoming year 2024, which is considered lucky.
Currently, Tether holds a total of 66,465 BTC. With Bitcoin’s price surging over 5% in the past 24 hours to reach around $45,000, the market value of these Bitcoins amounts to approximately $2.996 billion. This is almost double the value compared to the first quarter of last year when Tether’s Bitcoin assets were only worth $1.5 billion. According to analysts, Tether’s average cost for acquiring these Bitcoins was around $25,176. Based on the current market price, this means that Tether has unrealized profits of approximately $1.323 billion, resulting in an impressive investment return of 78%.
Tether’s stablecoin USDT, with the highest market share among stablecoins, has reached a market value of approximately $91.73 billion, accounting for a significant 72.05% share of the stablecoin market, according to CoinGecko data.
Tether’s financial report for the third quarter of last year revealed that its cash and cash equivalents reached a historical high of 85.7% of total reserves, amounting to $72.6 billion. This includes primarily US Treasury bills, ensuring liquidity and stability in the stablecoin ecosystem.
Furthermore, as of September 30th, Tether accumulated $3.2 billion in excess reserves, with only $2 billion in outstanding loans. It is estimated that by October 31st, Tether will have approximately $4.2 billion in excess reserves, with outstanding loans reduced to $900 million.
