---
title: "Tether Reports $1.5 Billion Q3 Profit as Excess Reserves Reach $7.95 Billion"
description: "The stablecoin issuer's surplus reserves nearly doubled to $7.95 billion, supported by $132.4 billion in US Treasury bill exposure."
url: https://basisdesk.news/news/tether-q3-profit-excess-reserves-bdo-attestation
published: 2026-10-30T19:11:40.933Z
modified: 2026-10-30T19:11:40.933Z
section: Stablecoins & Payments
author: Basis Desk Newsroom (AI-generated, source-verified)
sentiment: bullish
tickers: [USDT, BTC]
tags: [tether, usdt, treasury-bills, stablecoins, reserves]
license: Quote with attribution to Basis Desk (basisdesk.news). Not financial advice.
---

# Tether Reports $1.5 Billion Q3 Profit as Excess Reserves Reach $7.95 Billion

The stablecoin issuer's surplus reserves nearly doubled to $7.95 billion, supported by $132.4 billion in US Treasury bill exposure.

## At a glance

- **What happened:** Tether reported a third-quarter operating profit of $1.5 billion as its reserve surplus rose to $7.95 billion, according to a BDO attestation [1].
- **Why it matters:** The company's reserve buffer nearly doubled from June levels, backed by $132.4 billion in direct and indirect US Treasury holdings [1].
- **Who is affected:** Tether, USDT holders, and market participants across the broader stablecoin sector [1].
- **What's next:** No next step announced [1].
- **Primary source:** [Tether’s excess reserves nearly double to $8B as Q3 profit hits $1.5B](https://cointelegraph.com/news/tethers-excess-reserves-nearly-double-to-8b-as-q3-profit-hits-15b?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound) — cointelegraph.com

## Key points

- Tether generated $1.5 billion in Q3 operating profit and $4.5 billion across the first nine months of 2026 [1].
- Surplus reserves expanded to $7.95 billion at the end of September, up from $4.1 billion in June [1].
- Tether held $132.4 billion in direct and indirect US Treasury bills, alongside $8.37 billion in Bitcoin reserves [1].

## Editorial remark

- **Context:** Tether has faced years of scrutiny regarding its reserves while benefiting from elevated yield environments on US short-term government debt.
- **Impact:** Stablecoin users and crypto markets gain transparency into Tether's asset cushion, which holds a 60% market share.
- **Watch:** Release of public financial statement audits or disclosures regarding the firm's KPMG US audit findings.

Stablecoin issuer Tether posted $1.5 billion in third-quarter operating profit as its excess reserves increased to $7.95 billion, according to an attestation report prepared by accounting firm BDO [1]. The surplus rose from $4.1 billion recorded at the end of June [1].

At the end of September, Tether held $191.5 billion in total assets against $183.5 billion in liabilities [1]. Direct and indirect holdings of US Treasury bills represented $132.4 billion of those assets, an exposure comparable to South Korea's sovereign holdings and surpassing the United Arab Emirates' $116.1 billion, based on August US Treasury data [1]. Cumulative net operating profit for the first nine months of 2026 reached $4.5 billion, primarily propelled by returns on US Treasury bills and reverse repurchase agreements [1]. In addition, the firm's $BTC reserves were valued at $8.37 billion at the end of September, expanding from roughly $5.8 billion at the close of June [1].

## Market Share and Reserve Scrutiny

Tether's $USDT token maintains approximately 60% of the $297.3 billion stablecoin sector, according to DefiLlama figures [1]. Tether and other leading issuers have consistently captured substantial portions of sector earnings, as highlighted in previous coverage of [Tether and Circle's revenue performance](https://basisdesk.news/news/tether-circle-lead-protocol-revenue-defillama) [1]. Tether chief executive officer Paolo Ardoino stated on X that USDT's user base exceeded 700 million individuals, driven largely by emerging markets [1].

Tether continues to encounter regulatory and industry examination regarding the composition and clarity of its backing [1]. In August, the company completed an initial full independent financial statement audit conducted by KPMG US, though those audited statements remain unpublished [1]. At the time of writing, USDT traded at $0.9986 amid a broader market capitalization of $2.60 trillion.

## Sources

1. [Tether’s excess reserves nearly double to $8B as Q3 profit hits $1.5B](https://cointelegraph.com/news/tethers-excess-reserves-nearly-double-to-8b-as-q3-profit-hits-15b?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound) — cointelegraph.com, 2026-10-30

---
Basis Desk Newsroom · AI-generated, source-verified · https://basisdesk.news/about/how-we-use-ai