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Tether, the company behind the USDT stablecoin, generated $1.5 billion in net operating profit during the third quarter of 2026, while its reserve buffer nearly doubled to $7.95 billion.
According to its latest financial report, published on October 30 and prepared by independent accounting firm BDO, the company generated $4.5 billion in net operating profit during the first nine months of the year.
Its third-quarter net operating profit was consistent with the previous quarter, with U.S. Treasury bills and reverse repurchase agreements providing most of its income.
Reserve buffer grows by $3.8 billion
The biggest change during the quarter was the growth in Tether’s reserve buffer, which increased from $4.1 billion at the end of June to $7.95 billion on September 30. This represents an increase of approximately $3.8 billion in three months.
The reserve buffer is the amount by which a company’s assets exceed its liabilities. In Tether’s case, this means the company had nearly $8 billion more in assets than it owed. The surplus provides an additional financial cushion to support the company’s ability to meet USDT redemption requests, including during difficult market conditions.
Tether reported total assets of $191.45 billion against $183.50 billion in liabilities. Approximately $183.47 billion of those liabilities related to digital tokens the company had issued. Its direct and indirect holdings of U.S. Treasury bills also reached $132.4 billion.
The company said most of its reserve assets were held in liquid, short-duration investments that could be converted into cash relatively quickly to support redemption requests. Meanwhile, USDT issuance remained broadly stable at approximately $184 billion throughout the first three quarters of 2026, despite market volatility.
Coinbase returns to profit as subscriptions grow
Meanwhile, these results came as other major cryptocurrency companies reported different financial performances.
Coinbase, for example, returned to quarterly profitability with $718.7 million in net income. However, $715 million came from gains on crypto assets held for investment. Its adjusted net income was much lower at $77.7 million, showing the difference between its reported profit and earnings after certain items were excluded.
Coinbase also reported approximately $1.2 billion in total revenue, with transaction revenue contributing $590 million and subscription and services generating $570 million. Its paid Coinbase One subscribers increased 24% year-on-year, while its prediction markets business surpassed $200 million in annualized revenue.
Strategy reports $19.53 billion in net income
Strategy, one of the largest publicly traded corporate holders of Bitcoin, also reported $19.53 billion in third-quarter net income.
Much of this came from an accounting gain on its Bitcoin holdings rather than its software business. The company reported a $20.91 billion gain on digital assets during the quarter. However, its BTC Yield, a measure of Bitcoin holdings per diluted share, was negative 3.7% year-to-date as of October 25.
The company also announced that CFO Andrew Kang would step down effective November 5.
Robinhood crypto revenue falls 55%
Not every company experienced growth. Robinhood’s cryptocurrency revenue fell 55% year-on-year to $120 million in Q3. Its crypto trading volume also dropped 38% to $50 billion, reflecting weaker activity across its app and Bitstamp exchange.
Meanwhile, Bitcoin miner Bitdeer produced 3,855 BTC during the quarter, a 43% increase from Q2. StoneX raised its revenue forecast to $305 million and its adjusted EBITDA estimate to $83 million, while maintaining its $22 price target.
Tether CEO explains the importance of its reserves
Tether CEO Paolo Ardoino said the company was focused on keeping USDT dependable when financial markets came under pressure.
“Our responsibility is to make sure USD₮ remains dependable when people need it most, including when markets and financial systems come under pressure,” Ardoino said.
He added that the company’s $1.5 billion in quarterly net operating profit and nearly $8 billion in excess reserves provided a strong financial foundation for meeting redemption requests and supporting its operations.
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