Tether's cushion nearly doubled in a quarter in its Q3 report: excess reserves rose from $4.1 billion at the end of June to $7.95 billion at the end of September, an increase of $3.85 billion.
Net operating profit in Q3 was $1.5 billion, flat from Q2, bringing the total for the first nine months to $4.5 billion. As of September 30: total assets were $191.5 billion, total liabilities were $183.5 billion, and the amount issued remained at around $184 billion. Reserves included $132.4 billion in direct and indirect U.S. Treasury holdings, $19.1 billion in physical gold, and $8.4 billion in directly held Bitcoin.
I think the cushion's sharp increase despite flat profits came down to a recovery in the valuation of its Bitcoin and gold holdings, rather than the company earning more that quarter. Whether it can maintain that cushion in the next quarterly report is more worth watching than the profit figure itself.
Would you see the $7.95 billion cushion as a margin of safety for USDT, or focus first on the volatility of the $19.1 billion in gold and $8.4 billion in Bitcoin it contains?
Follow me, and when the Q4 reserve figures come out, I'll compare them with this quarter's $7.95 billion cushion and calculate the change for you first.
$USDT
Net operating profit in Q3 was $1.5 billion, flat from Q2, bringing the total for the first nine months to $4.5 billion. As of September 30: total assets were $191.5 billion, total liabilities were $183.5 billion, and the amount issued remained at around $184 billion. Reserves included $132.4 billion in direct and indirect U.S. Treasury holdings, $19.1 billion in physical gold, and $8.4 billion in directly held Bitcoin.
I think the cushion's sharp increase despite flat profits came down to a recovery in the valuation of its Bitcoin and gold holdings, rather than the company earning more that quarter. Whether it can maintain that cushion in the next quarterly report is more worth watching than the profit figure itself.
Would you see the $7.95 billion cushion as a margin of safety for USDT, or focus first on the volatility of the $19.1 billion in gold and $8.4 billion in Bitcoin it contains?
Follow me, and when the Q4 reserve figures come out, I'll compare them with this quarter's $7.95 billion cushion and calculate the change for you first.
$USDT
