Tether International reported a solid Q1 2026 performance through its attestation prepared by BDO, confirming the accuracy of its Financial Figures and Reserves Report, as of 1 May 2026.
The company generated approximately $1.04 billion in net profit during the quarter despite highly volatile global market conditions. Excess reserves climbed to a record $8.23 billion, supported by sustained earnings and disciplined reserve management.
USD₮ in circulation remained broadly stable at scale, with total token-related liabilities of approximately $183,438,487,810 and overall liabilities of about $183,535,531,717 as of March 31, 2026. Total assets reached $191,767,741,495, showing a strong cushion above liabilities.
The report highlights how profitability and reserve strength continued to expand together, reinforcing confidence in the issuer’s financial structure during turbulent macroeconomic conditions.
The audit process formally began in the quarter, adding further validation to reserve transparency and reinforcing institutional scrutiny across Tether’s balance sheet framework and reporting standards.
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Treasury-Heavy Reserves and Diversified Asset Base
Tether’s reserve structure remains heavily concentrated in short-duration, high-quality liquid instruments, with direct and indirect exposure to U.S. Treasury bills reaching approximately $141 billion. This positions Tether as the 17th largest holder of U.S. Treasuries globally, reflecting its scale within sovereign debt markets.
Reserves also consist of approximately $20 billion of gold and about $7 billion of Bitcoin holdings, resulting in a diversified portfolio of macro-sensitive assets. With total assets at $191.77 billion and total liabilities of $183.54 billion, excess reserves exceed $8.23 billion.
By prioritizing sovereign assets, there is an assurance of liquidity in times of market turmoil. This structure incorporates elements of safety, liquidity, and selected macroeconomic risk. The USD₮ obligations continue to be mostly linked to digital asset issuance; hence, the reserve serves as backing for the entire liquidity.
Stability, Expansion, and Ecosystem Development
USD₮ maintained stable circulation throughout the quarter while continuing to operate as a core settlement asset across global markets. It continued to work as an integral component of the company’s core settlement assets across various international markets.
Tether said that the amount of coins in circulation grew by over 5 billion USD₮ by the end of the quarter. The firm explained that its proprietary investments managed by Tether Investments are completely segregated and do not affect the overall liquidity and solidity of backing.
Those are made solely out of excess capital. The head of the company said that consistency and stability are key components when it comes to the functionality of the stablecoin in question because it needs to work in all kinds of market conditions.
The firm pointed out that it launched the Tether Wallet, which is a self-custodial wallet meant for broad global usage. The excess reserve buffer amounting to $8.23 billion would be the third-largest among stablecoins if viewed independently.
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