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  • USD₮ market cap rose to $187.3B in Q4, growing 3.5% after October’s selloff while rival stablecoins shrank.
  • Total USD₮ users reached 534.5M, with 139.1M wallets holding 70.7% of all stablecoin balances on-chain.
  • Reserves hit $192.9B, backed by Treasuries, 96,184 BTC, gold, and $4.4T in quarterly on-chain transfers.

Tether released its USD₮ Q4 2025 market report, detailing record growth despite a sharp crypto liquidation on October 10, 2025. The report covered global blockchain activity through December 31, 2025, and focused on USD₮ issuance, reserves, and usage. Tether attributed the results to continued demand for USD₮ as both a store of value and a transaction asset.

Market Growth Holds After October Liquidation

According to Tether’s on-chain analysis, USD₮ market cap reached $187.3 billion in Q4 2025, rising $12.4 billion quarter over quarter. Growth slowed after October’s liquidation cascade, when the total crypto market fell by more than one-third. 

However, USD₮ still expanded 3.5% during that period. In contrast, the second- and third-largest stablecoins declined by 2.6% and 57%. Total USD₮ users rose by 35.2 million in the quarter, reaching an estimated 534.5 million. 

This marked the eighth straight quarter with more than 30 million new users. On-chain holders increased by 14.7 million to 139.1 million wallets, representing 70.7% of all stablecoin wallets. Data cited in the report came from Tether analysis, Chainalysis, and Artemis.

Reserves Expand Across Treasuries, Bitcoin, and Gold

Tether reported total reserves of $192.9 billion at the end of Q4, exceeding liabilities by $6.3 billion. Reserves included 96,184 bitcoin and 127.5 metric tons of gold, both increasing during the quarter. U.S. Treasury exposure rose by $6.5 billion to $141.6 billion.

Tether said this level would rank it as the 18th-largest U.S. Treasury holder if treated as a country. During 2025, Tether added $28.2 billion in Treasuries, making it the seventh-largest buyer compared with sovereign nations.

On-Chain Activity Reaches New Records

On-chain USD₮ transfers reached $4.4 trillion in Q4, the highest quarterly total recorded. Single-asset transfers accounted for 63.6% of that value. The number of transfers climbed to 2.2 billion, with most transactions under $1,000. Monthly active on-chain users averaged 24.8 million.

Tether reported that 36% of USD₮ supply sat on centralized exchanges, while savers held 33%. Sender wallets accounted for 26.5%. Velocity averaged 28% during the quarter, remaining lower than other major stablecoins.

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