Tether ended 2025 with around $10 billion in profit, a sharp but controlled pullback from the record-breaking results it posted a year earlier, even as the company moved ahead with plans that could elevate it into the top tier of private global firms.
Key Takeaways
Tether stayed massively profitable in 2025 despite a drop from last year’s record earnings.
USDT’s dominance keeps growing, driven by demand for digital dollars outside traditional banking.
A new fundraising push could place Tether among the world’s most valuable private firms.
The world’s largest stablecoin issuer reported a roughly 23% decline in annual profit compared with 2024, when earnings reached $13 billion. While the figures confirm Tether’s continued profitability at massive scale, the company offered little detail on what specifically drove the year-over-year drop.
Profits Slip as Market Conditions Tighten
Tether’s core business revolves around issuing USDT and investing the capital it receives into reserves meant to keep the token closely aligned with the US dollar. Those reserves span a wide mix of assets, including exposure to cryptocurrencies.
Digital asset markets weakened notably after October, and that broader downturn likely pressured returns across parts of Tether’s portfolio. However, the company’s limited financial disclosures make it difficult to determine how much of the profit decline came from crypto price movements versus other factors such as reserve composition or operational changes.
Transparency Questions Remain
Unlike regulated banks or publicly traded financial firms, Tether does not release fully standardized audited financial statements. Its figures are reviewed by BDO, but they are not directly comparable with the disclosures required under traditional regulatory frameworks.
As Tether’s balance sheet and influence continue to expand, this gap in transparency remains a focal point for both regulators and market participants, particularly given the firm’s growing role in global dollar liquidity.
USDT’s Global Reach Continues to Expand
Despite lower profits, Tether’s flagship stablecoin remains firmly dominant. USDT is now the largest stablecoin in the market, with more than $185 billion in circulation.
Beyond crypto trading, USDT has become a widely used digital dollar in regions where local currencies are unstable or access to traditional banking is limited. Its adoption in developing economies and sanctioned markets has positioned Tether as a key alternative channel for dollar exposure outside the conventional financial system.
Digital Dollars Beyond Traditional Banking
Paolo Ardoino framed the company’s 2025 performance as part of a deeper structural shift rather than a short-term earnings story. According to Ardoino, demand for dollar-denominated liquidity is increasingly moving beyond traditional banking rails, especially in regions where financial systems are slow, fragmented, or difficult to access.
That dynamic, he argued, has been a major driver behind USDT’s continued expansion, even as market conditions fluctuated throughout the year.
Fundraising Push Signals Bigger Ambitions
Alongside its earnings update, Tether has launched a fundraising process that could significantly boost its valuation. If successful, the move would place the company among the most highly valued private firms globally.
For the stablecoin sector, Tether’s 2025 results underline a growing contrast: profits eased from exceptional highs, but the company’s role in global finance continues to deepen as digital dollars increasingly flow outside the traditional banking system.
