Gushiken Yona
Is this real life? 🤯 Tether, the stablecoin everyone loves to hate, just out-earned BlackRock, the financial titan that’s been around since the Great Depression! 🤯 Talk about a plot twist!
Tether, the stablecoin giant everyone either loves or loves to hate, just out-earned BlackRock. Yes, that BlackRock—the largest asset manager in the world, managing real money and investments. Tether raked in a cool $6.2 billion in 2023, surpassing BlackRock’s $5.5 billion. If you thought the financial world couldn’t get any weirder, welcome to 2024! 🎉
So, what’s the secret to Tether’s big payday? Turns out, it’s U.S. Treasury bills. Yup, not some fancy DeFi yield farm or the next blockchain moonshot—just good ol’ government debt. The irony? While crypto traders are out there trying to dodge scams and rug pulls, Tether’s just chilling with Uncle Sam, stacking interest on “safe” investments. It’s like watching your crazy friend make a fortune by doing exactly what they told you not to do. 💰
Tether Secret Sauce: U.S. Treasury Bills 🍔
Tether’s magical money-making formula? Low-risk, short-term government debt. Nothing screams “wild west of finance” quite like riding Treasury bill yields to the moon. As interest rates climbed, so did Tether’s profits. With reserves exceeding $80 billion, Tether sat back and watched the interest roll in while the rest of us kept nervously refreshing our portfolio apps.
Oh, and that little detail? They’re now holding 75,354 BTC (around $4.8 billion). Guess what? They’re not just collecting government IOUs—they’re all-in on Bitcoin too, with plans to start mining in Uruguay, Paraguay, and El Salvador. Looks like Tether’s prepping for the ultimate diversification strategy: half Wall Street, half Satoshi Nakamoto. 🎯
But while Tether’s showing us how it’s done, BlackRock’s probably sitting there wondering if they need to pivot to crypto mining. I mean, Tether didn’t just outperform them—they left them in the dust. But, well with Blackrock now having Bitcoin ETF, 2024 seems interesting.
Some say digital finance is the future, I say it's already here.
— Willy Woo (@woonomic) September 20, 2024
BLACKROCK
– 19,800 employees
– $10.4T AUM (10% of world GDP!)
– $5.5b profit
TETHER
– approx 50 employees
– $119B AUM (0.1% of world GDP)
– $6.2b profit
I spoke with one of Tether's founders, here's 2 insights.
The Elephant in the Room: Tether and Transparency 👀
Okay, okay, before we start throwing Tether a parade, let’s talk about that looming question: Are these numbers real? Let’s not forget, Tether’s been dodging transparency issues like it’s playing Frogger. Despite earning billions, some critics are still side-eyeing Tether’s reserves, asking if those stablecoins are truly backed by liquid assets—or if we’re all just living in another layer of crypto smoke and mirrors. 💨
Tether says they’re good. They’ve even started dropping quarterly reports to prove it. But here’s the thing—those reports are like your friend showing you the “good” parts of their vacation photos. Where’s the full audit, asked some crypto bros, highlighting the word ” Independent.” No smoke and mirrors, just show ’em the receipts. 🧾
Some Sensible Questions 🤔
If a stablecoin issuer can out-earn a traditional finance giant, are we witnessing a shift in the financial power structure—or is this just the crypto bubble inflating itself once again? 🛑
Should Tether’s growing influence in both crypto and tradfi be a cause for celebration—or a warning? Remember, we’ve seen this movie before, and the last act usually involves a “Where did all the money go?” scene. 🧠💥
Is this crypto’s ultimate glow-up, or are we headed for the next FTX-style meltdown? 😳
Disclaimer 🚨: If you’re thinking about converting your life savings into USDT after reading this, slow down there, cowboy! Tether may have out-earned BlackRock, but we’re still waiting for that independent audit. Not your keys, not your coins—and maybe not your profits either. 😬
Read More
- UK Court Recognizes Tether (USDT) as Legal Property in Landmark Ruling
- Tether Announces New Stablecoin Pegged to UAE Dirham
- Tether’s Golden Goose Laid Bare: Nonprofit’s Campaign Cries Foul Following aUSDT Launch
Yona has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Daily is an official media and publication of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
