Tether’s Excess Reserves Fell 50% During the Second Quarter

Tether’s excess reserves fell by $4.12 billion, or 50.1%, during the second quarter to $4.11 billion, narrowing the cushion above its liabilities as of June 30.

The company’s excess reserves stood at $8.23 billion on March 31. Liabilities changed by about $106 million during the quarter. Total assets were approximately $187.75 billion and liabilities were about $183.64 billion for the period ended June 30.

The reserve breakdown included $114.96 billion in U.S. Treasurys, $25.6 billion in reverse repurchase agreements, $18.84 billion in precious metals, $5.8 billion in Bitcoin (BTC), $13.45 billion in secured loans and $3.76 billion in publicly traded stocks. Precious metals and BTC together represented approximately $24.6 billion.

The gold price used in the reserve calculations declined 14.1% from $4,668.06 an ounce on March 31 to $4,008.02 on June 30. Bitcoin fell from $68,200 to $58,600 over the same period.

Excess reserves represented 2.2% of liabilities at the end of June, compared with 3.5% a year earlier and 5.2% at the end of 2024.

Secured loans also remained a significant part of the reserve composition. The balance was $13.45 billion on June 30, down $3.59 billion from the end of 2025, when it stood at $17.04 billion.

The balance was $6.1 billion in December 2022, $4.8 billion a year later and $8.19 billion at the end of 2024. The June figure was more than three times the latest excess-reserve cushion.

Tether and Fasanara Capital announced Sept. 9 that they were launching StableFund, a private-credit fund with $400 million in combined initial capital and a fundraising target of up to $3 billion. The fund is intended to provide financing through fintech platforms in more than 60 countries, including small-business lending, consumer credit, trade receivables and supply-chain finance.

Tether is a co-initiator of StableFund and is responsible for identifying financing opportunities connected with USDT while providing stablecoin settlement infrastructure. The announcement did not specify Tether’s share of the initial capital.

The next reserve report is expected by around the end of October. It will provide the next reported comparison for Tether’s excess reserves and secured-loan balance.