Tether, known for its USDT stablecoin, has become one of the largest private holders of U.S. Treasuries.
Tether's Treasury Purchases
According to Tether CEO Paolo Ardoino, the company has purchased over $33.1 billion in U.S. Treasuries. This makes it the seventh-largest buyer of such bonds in 2024, surpassing nations like Canada and Norway.
Tether's Role in The Bond Market
Tether's recent purchases place it among the top ten holders of U.S. Treasury bonds. Nonetheless, the company still lags behind leaders like the Cayman Islands, which hold over $100 billion in treasuries. Ardoino pointed out that jurisdictions like the Cayman Islands and Luxembourg include hedge fund investments in their figures, whereas Tether's assets belong to just one company.
U.S. Stablecoin Regulations
As the stablecoin market, which now exceeds $219 billion, continues to grow, the U.S. is actively working on legislation for their regulation. Blockchain Association CEO Kristin Smith expressed optimism that the law could be enacted by August 2025.
As one of the largest private holders of U.S. Treasuries, Tether continues to bolster its position in the financial markets. Meanwhile, the establishment of a regulatory framework for stablecoins in the U.S. promises to impact the industry's future development.
