On July 31, Tether released its financial report for the second quarter, revealing that the issuer's excess reserves had decreased to $4.11 billion, down from $8.23 billion in the previous quarter.
As of June 30, the company held assets totaling $187.75 billion against liabilities of $183.64 billion, according to an audit report by BDO. During this period, Tether generated a net operating profit of approximately $1.5 billion, primarily from its portfolio of U.S. government securities and reverse repurchase agreements.
The issuance of USDT increased by $446 million, bringing the total to $184.6 billion. The stablecoin now commands over 60% of the market share in the stablecoin sector. Tether's CEO, Paolo Ardoino, noted that the number of users surged by more than 30 million, surpassing 650 million in total.
Tether just released its quarterly USDT attestation for Q2 2026.
Tether had a great second quarter of 2026, with ~1.5B in net operating profit, despite highly volatile global markets.
USDT user base continued to grow, reaching the new all-time-high of 650M+, with the widest… https://t.co/L4AIzCLcUI pic.twitter.com/x4qxgacCRi
— Paolo Ardoino 🤖 (@paoloardoino) July 31, 2026
Gold and Bitcoin Reserves Decline in Value
During the quarter, Tether acquired an additional 14 tons of physical gold, increasing its gold holdings from 132.2 tons to 146.2 tons. However, the valuation of this gold decreased from $19.84 billion to $18.84 billion, as the company valued the gold at $4,008.02 per ounce, approximately 15% lower than in March.
The company's Bitcoin reserves rose by 1,796 BTC, totaling 98,933 coins, but their value fell from $6.62 billion to $5.8 billion.
The core backing remained stable, with U.S. Treasury bills valued at $114.96 billion and reverse repurchase agreements at $25.62 billion. Tether reduced its secured loans by $2.38 billion, bringing the total down to $13.45 billion.
Half-Year Loss Reported
Tether disclosed its "net operating profit," a metric that excludes the revaluation of assets like Bitcoin and gold. The capital change table in the report presented a different picture, showing a financial result of -$3.17 billion for the first half of 2026, despite net capital inflows of $943 million.
Source: Tether.In the first quarter, the company reported a profit of $1.04 billion. The Block noted that Tether might have incurred losses exceeding $4 billion from April to July. However, the report did not specify the factors contributing to the negative result beyond the revaluation of gold and Bitcoin.
For comparison, Tether reported a net profit of $4.9 billion for the second quarter of 2025.
As of the end of July, the capitalization of the stablecoin sector had declined by $10 billion since its peak in May, marking the largest monthly drop since the collapse of Terra in May 2022.