• Tether reported a $700 million profit for the fourth quarter of 2022, according to its latest attestation report.
• It has an excess reserve of at least $960 million and total assets stood at $67.04 billion, while its liabilities were $66.08 billion.
• During the chaotic events of the year, Tether processed over $21 billion dollars in redemptions and issued over $10 billion USDT.
Tether Reports Profits for Q4’22
Tether, a stablecoin issuer, recently published an attestation report which revealed that it had earned a profit of $700 million in the fourth quarter of 2022. Its total assets amounted to $67.04 billion, with liabilities standing at $66.08 billion; most of which were related to its issued digital tokens. The company also stated that it had an excess reserve of at least $960 million as of Dec 31st.
Redemptions and Issuance
CTO Paolo Ardoino commented on the report by stating that it showed Tether’s resilience and stability in handling bear markets and black swan events; citing that despite chaotic events during the year, Tether smoothly processed over $21 billion dollars in redemptions and issued over 10 billion USDT – indicating continued organic growth adoption for their token..
Removal Of Secured Loans
The crypto market plunged to record lows last year, leading to several crypto firms capitulating while facing increased regulatory scrutiny following the collapse of Terra’s algorithmic stablecoin – causing a mini bank run whereby Tether experienced withdrawals amounting to 10billion within two weeks time span. As such they removed all secured loans and commercial paper from their reserves following heightened community fears.
To ensure trustworthiness amongst their users as well as regulators alike, Tether repeatedly maintained that they have no exposure to any firm affected by the crypto contagion; thereby showing commitment towards adhering to regulations whilst still providing services within this space.