Tether Doubles Performance, Market Cap Grows $16 Billion

• Tether, a prominent stablecoin issuer, has reported a net profit of $1.48 billion for the first quarter of this year.
• The company revealed that its holdings include $1.5 billion worth of Bitcoin and $3.4 billion worth of gold on its balance sheet as of March 31st.
• Despite turbulence in the stablecoin market, Tether’s USDT has seen a 24% increase in market capitalization since the beginning of 2021, now standing at $16 billion.

Tether Reports $1.48 Billion Net Profit

Tether, a prominent stablecoin issuer, has recently released its latest attestation report, which indicates a net profit of $1.48 billion for the first quarter of 2021. This impressive figure represents a doubling from the previous quarter’s results.

Tether’s Holdings Include Bitcoin and Gold

The report also reveals that Tether holds $1.5 billion worth of Bitcoin and $3.4 billion worth of gold on its balance sheet as of March 31st, accounting for approximately 2% and 4% respectively, out of its total reserves which stand at roughly $80 billion dollars.

Stablecoin Market Turbulence

Several tokens have lost their dollar pegs due to the U.S banking crisis affecting Circle’s USDC and Paxos was forced to halt the issuance of Binance USD (BUSD) by the New York Department of Financial Services in February due to SEC investigation into it being issued as an unregistered security .

Tether’s USDT on The Rise

Despite these challenges, Tether’s USDT has emerged as one ot he clear winners during this period with its market capitalization growing by 24%, hitting$16 billion since January 1st 2021 .

Risk Concerns Remain

The fact that Tether holds such a large amount og BTC and gold on its balance sheet raises questions about potential concentration risk associated with it and highlights the need for greater oversight and regulation within this rapidly growing industry