How Does Tether Make Money? Understanding the Business Model Behind USDT

Tether primarily makes money by earning interest on the reserve assets that back USDT, the world’s largest stablecoin. When USDT is minted, Tether receives dollars or equivalent assets and invests most of those reserves in short-term U.S. Treasury bills and other low-risk instruments. The yield generated by those reserves is the core source of Tether’s […]