Tether, the company behind the world’s leading stablecoin USDT, emerged as the seventh largest holder of U.S. Treasury securities in 2024, surpassing numerous sovereign nations, according to CEO Paolo Ardoino’s announcement on March 20, 2025 via X. With $33.1 billion in Treasuries acquired throughout the year, Tether outpaced countries like Canada, Norway, and Germany, cementing its role as a financial heavyweight. This milestone, detailed in quarterly attestations culminating in a December 2024 report showing $113 billion in total holdings, reflects Tether’s strategy to bolster USDT’s stability amid a record-breaking $13 billion profit year. This development highlights the growing intersection of cryptocurrency and traditional finance.
A Stablecoin Giant’s Treasury Play
Tether’s ascent to the seventh spot stems from its aggressive acquisition of U.S. Treasuries, a cornerstone of its reserve strategy for USDT, a dollar-pegged stablecoin with a market cap exceeding $137 billion by December 31, 2024. Ardoino’s X post clarified that the $33.1 billion represents 2024 purchases, distinct from cumulative holdings, which hit $113 billion per the Q4 attestation. This places Tether ahead of nations like Canada ($29.7 billion) and Norway ($27.8 billion), per U.S. Treasury data, though behind the Cayman Islands’ $100 billion-plus .
The firm’s Treasury portfolio—primarily short-term bills—grew steadily: $91 billion in Q1, $97.6 billion in Q2, $102.5 billion in Q3, and $113 billion by year-end. This escalation mirrors USDT’s issuance, which surged by $45 billion in 2024, dwarfing rival USD Coin’s market cap.
A Global Ranking Shift
Tether’s seventh-place ranking is striking when compared to sovereign holders. The U.S. Treasury’s “Major Foreign Holders” list (January 2024 baseline) shows Japan at $1.2 trillion and China at $767 billion, while Canada held $29.7 billion and Germany $90.2 billion. Tether’s $33.1 billion in annual buys outstrips these nations’ 2024 increments, though its $113 billion total ranks it around 18th globally among all holders—foreign and domestic—per earlier Q3 data. Ardoino noted the Cayman Islands’ lead includes hedge fund aggregates, unlike Tether’s single-entity status.
This shift reflects broader trends: China offloaded $102 billion in Treasuries over 2023–2024, while Japan may sell amid yen weakness. Tether’s rise fills this gap, supporting U.S. debt demand as stablecoin adoption grows—USDT processed over $4 trillion in payments in 2024, rivaling Visa. Former House Speaker Paul Ryan, in a May 2024 clip on X, argued stablecoins like USDT entrench the dollar digitally, a view Ardoino echoes, citing USDT’s role in emerging markets.
For USDT’s 350 million users, Tether’s Treasury rank is a quiet reassurance—a lifeline in emerging markets where banks falter. For skeptics, it’s a paradox: a crypto firm rivaling nations in a system it once aimed to disrupt. Traders see opportunity in its stability; regulators, a puzzle to solve. It’s a story of adaptation, blending digital ambition with old-school finance.
As of March 20, 2025, Tether’s seventh-place Treasury ranking caps a transformative year. With $13 billion in profits and $113 billion in holdings, it’s a crypto titan flexing TradFi muscle. Whether it climbs higher—Ardoino eyes the top spot or faces regulatory headwinds, Tether’s 2024 ascent redefines stablecoins’ global role.
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