- Tether Tops South Korea in U.S. Debt Holdings Tether now holds $127B in U.S. Treasuries, ranking 18th globally and surpassing South Korea.
- USDT Demand Soars in 2025 USDT supply rose by $26B this year, driven by global demand for stable, dollar-backed assets.
- Tether Becomes Global Financial Force With more U.S. debt than many countries, Tether now plays a major role in international finance.
Tether, which issues the most popular stablecoin, USDT, took another step and becomes a new leader. The company has become the 18 th largest cupholder of the United States Treasury securities which has surpassed South Korea as per its latest second-quarter attestation report, released Thursday.
According to the report, Tether has been holding U.S. Treasury bills estimated at 127 billion dollars but the holding is divided into direct and indirect holding estimated at 105.5 billion and 21.3 billion dollars respectively. This is an increment of the similar amount by 7 billion in the prior quarter. By May 2025, Tether had a claimed $120 billion holdings, which made it larger than Germany at that moment.
💥BREAKING
TETHER NOW HOLDS $127 BILLION IN US TREASURIES. IT JUST SURPASSED SOUTH KOREA.
WILL THEY OVERTAKE SAUDI ARABIA NEXT? 👀 pic.twitter.com/StRhMMUmRv
— DustyBC Crypto (@TheDustyBC) August 1, 2025
The new milestone by the company leaves it ahead of South Korea which owns $124.2 billion in the American government debt. Tether has come in second place behind Saudi Arabia now, at the rate of $127.7 billion in Treasury holdings. This is the only case of a company among the top 20 holders of the U.S. government finances that is privately owned.
Stablecoin Supply Climbs Amid Global Demand
The increasing appreciation of Tether Treasury portfolio goes hand in hand with the entire growth of USDT. The market cap of USDT was at the point of 137 billion dollars as of January 1, 2025. It has since increased tremendously in supply to the tune of $26 billion, which equals a total market capitalization of 163.6 billion.
The USDT growth is reported to surpass 19 percent year to date as per statistics provided by CoinGecko. This increase demonstrates how people in the world are craving dollar based digital currency. Analysts explain the demand by the increased interest of institutions and users in the emerging markets that need stability found in the crypto assets which are priced in dollars.
Increase in USDT issues has massively improved the confidence in its backing among the markets. Even after such a huge exposure to Treasurys, Tether has placed itself at the center of global liquidity movement.
Trust in Tether Strengthens Through 2025
Although the report is not yet confirmed, Tether CEO, Paolo Ardoino posted about the report on the social media platform, X, formerly Twitter. He commented, “Told you so” in response to those who did not think Tether was going the way it has been.
As stated by Ardoino in the Q2 attestation the company is gaining a lot of market confidence. This, according to him, was confirmed by market volumes in Q2 2025, which, as he added, have been growing rapidly all year long.
Tether has more Treasury holdings than Norway, Brazil, or India at the moment. It is a first in the history of such a company operating in the digital asset sphere.
Tether’s Role in Global Monetary Flows
The growing activity of Tether in the U.S Mainstream Treasury is an indicator of the changing balance in world economics. It is reserving more on its crypto currency increasing its stability and credibility as its stablecoin is broadly used on on-line trade and remittance.
Tether is no longer a crypto company because it has become one of the largest foreign owners of American debt. It has turned into a high-financial organization that is a part of capital markets internationally. This solidifies the rising overlapping between the traditional finance and blockchain-based asset.
