Tether's reserves — the assets backing every USDT in circulation — are a topic of significant interest to traders, regulators, and institutional investors. As of 2024, Tether reported $118.4 billion in total reserves including $5.3 billion in excess reserves above total liabilities. The company disclosed a net equity of $11.9 billion and a first-half 2024 profit of $5.2 billion, largely generated through returns on its US Treasury holdings.
Tether's reserve portfolio is dominated by short-duration US Treasury Bills, making it one of the largest holders of US government debt among non-state entities worldwide.
The bulk of Tether's reserves are held in short-term US Treasury Bills and overnight reverse repurchase agreements (repos), both of which are considered extremely low-risk, highly liquid instruments. This allocation is intentional: in a redemption scenario, Tether must be able to quickly convert reserves to cash without significant price impact.
Transparency and Attestations
Tether publishes its reserve composition quarterly through third-party attestation reports. The reports break down holdings by asset type, counterparty exposure, and maturity profile. A smaller portion of reserves is allocated to corporate bonds, secured loans, precious metals (approximately $8 billion in gold stored in a Swiss vault as of July 2025), and Bitcoin. Tether also maintains a transparency dashboard updated daily with current circulating supply figures. Critics have historically called for a full annual audit rather than attestations, while Tether argues its quarterly attestations provide sufficient visibility into its financial position.
- Majority held in US Treasury Bills and overnight repos
- ~$8B in gold reserves (Swiss vault) as of mid-2025
- Small allocation to Bitcoin, corporate bonds, secured loans
- Quarterly attestation reports published publicly