By
Bena Ilyas
April 29th, 2024
With just 100 employees, Tether’s income per employee is 380 times higher than that of JPMorgan.
Tether, the issuer of the world’s largest stablecoin USDT, has attained a key milestone in the entire financial space with its net income surging to a staggering $6.2 billion in 2023. As per Teddy Fusaro, president at Bitwise, this figure comes pretty close to the numbers reported by some of the top banking giants such as Morgan Stanley and Goldman Sachs.
USDT @tether_to produced an estimated $6.2 billion in net income in 2023.
That's 78% of the number Goldman Sachs did ($7.9bn) and 72% of Morgan Stanley's ($8.5b).
They have ~100 employees. GS has 49,000. MS has 82k.
Source @MaelstromFund pic.twitter.com/4GjVZZHjBr
— Teddy Fusaro (@teddyfuse) April 7, 2024
Interestingly, Tether achieved this historic milestone with just 100 employees, demonstrating an unprecedented level of efficiency. This performance is particularly outstanding in comparison to some of the top traditional banks. For example,the income per employee at Tether is by a staggering 380 times higher than what banking giant JPMorgan produces. It showcases how effectively Tether manages to maximize profitability.
Tether (USDT) is the only stablecoin in the crypto market having a market cap of $100 billion. This is more than three times that of its immediate competitor Circle (USDC). Interestingly, this magnanimous growth witnessed by Tether has sparked discussions within the crypto community.
As a result, traditional players have also started stablecoin offerings. Other big crypto market players like Ripple are also eyeing a slice of the stablecoin market, expected to grow to $2.8 trillion in size by 2030.
Tether Overcomes All Concerns About Its Operations
Banking giants like JPMorgan have raised concerns surrounding Tether’s rapid growth trajectory. Citing Tether’s ongoing issues with crypto compliance and transparency, the bank highlighted major risks to the wider crypto ecosystem.
However, despite these attacks from top banking players, Tether’s management has continued to remain optimistic regarding the company’s future. Tether CEO Paolo Ardoino says that its market dominance would be beneficial for the entire crypto market. He further added that Tether has undertaken a proactive approach while engaging with global regulators. Ardoino said:
“Tether’s market domination may be a ‘negative’ for competitors including those in the banking industry wishing for similar success but it’s never been a negative for the markets that need us the most.”
Apart from its stablecoin market dominance, Tether is also dabbling into the Artificial Intelligence (AI) market. The stablecoin issuer seeks to make AI technologies more efficient and accessible while advocating for open-source and transparent practices.
This strategic decision comes amidst increasing discussions regarding the centralization of AI technologies. Tether’s dedication to open AI models aims to foster innovation and mitigate monopolistic tendencies within the industry.