Stablecoin issuer Tether reported a 50% quarterly profit surge despite broader crypto turmoil and declining Bitcoin prices.
Tether generated $1.5 billion in net operating profit during Q2 2026, up nearly 50% from $1.04 billion in Q1. The gain came as Bitcoin fell from $68,200 to $58,600 and three major exchanges announced closures amid a $89 million hack.
The company’s profit stems from holding $184.6 billion in USDT reserves, primarily in short-term US Treasury bills yielding 3.50-3.75%. With total assets at $187.75 billion, Tether captures the yield gap between reserves and user holdings.
Tether’s model, which relies on issuing the world’s largest stablecoin and investing reserves, has made it one of the most profitable firms globally on a per-employee basis, with just 150 staff.