Tether’s $10B Profit Rivals Wall Street Giants in 2025

Tether’s $10 billion profit through the first three quarters of 2025 represents a watershed moment for the cryptocurrency industry, demonstrating that digital asset companies can compete directly with established financial institutions. The stablecoin issuer’s performance has eclipsed that of Bank of America, which reported $8.9 billion in profits during the same period, and nearly doubled the $5.5 billion earnings of U.S. Bank. More significantly, Tether is now within striking distance of Wall Street mainstays Morgan Stanley and Goldman Sachs, which recorded net incomes of $12.4 billion and $12.56 billion respectively.

The company’s trajectory suggests it may soon overtake even these financial titans. Last year, Tether came within 10% of surpassing Goldman Sachs’s annual earnings with $13 billion in profit, and current performance indicates the crypto firm is on track to exceed that figure in 2025. While JPMorgan remains the undisputed leader with $44 billion in net income this year—more than quadruple Tether’s earnings—the stablecoin issuer’s rapid ascent signals a fundamental shift in the financial landscape.

Tether’s extraordinary profitability stems primarily from its massive holdings of U.S. Treasuries, which now total approximately $135 billion. These government securities serve as the backing for USDT, the world’s dominant stablecoin with a circulating supply exceeding $184 billion. The returns generated from this Treasury portfolio have become the company’s primary revenue source, creating a profit engine that rivals traditional banking operations.

The scale of Tether’s Treasury holdings places the company among the world’s largest sovereign holders of U.S. debt. With $135 billion in Treasuries, Tether now exceeds the holdings of major nations including Germany, the United Arab Emirates, Saudi Arabia, and South Korea. While Japan remains the dominant holder with $1.2 trillion as of July, Tether’s position underscores the growing influence of private cryptocurrency companies in traditional financial markets.

Despite being privately owned and headquartered in El Salvador, Tether has achieved remarkable global penetration. According to CEO Paolo Ardoino, USDT has become “the biggest financial inclusion success story in the history of humanity,” with more than 500 million users across emerging markets and developing countries. The company issued over $17 billion worth of USDT in the third quarter alone, demonstrating continued strong demand for dollar-pegged digital assets.

Following President Donald Trump’s re-election and the establishment of a legal framework for stablecoins in the United States, Tether is making a strategic pivot toward the American market. The company plans to launch USAT, a U.S.-compliant stablecoin tailored to American regulations, by the end of 2025. This represents a significant departure from Tether’s previous approach of avoiding direct involvement in U.S. markets and reflects the company’s ambition to compete directly with traditional financial institutions on their home turf.

Notably, Tether has maintained its private status and has yet to submit to an internal audit by a Big Four accounting firm, distinguishing it from the publicly traded banks it now rivals in profitability. As the company prepares its U.S. market entry with USAT, its ability to maintain this profitability while adapting to American regulatory requirements will be closely watched by both crypto enthusiasts and traditional finance observers.