Tether Ranks Seventh-Largest Foreign Holder of U.S. Treasuries in 2025 with $28.2 Billion Net Purchases

Tether recorded net purchases of $28.2 billion in U.S. Treasuries in 2025, becoming the seventh-largest foreign holder, and its combined holdings with Circle now exceed those of South Korea and Saudi Arabia, the Financial Times reports. U.S. Treasury Secretary Scott Bessent views stablecoins as a tool to strengthen the dollar and absorb U.S. debt, projecting the sector could grow from approximately $300 billion to $3 trillion. The banking and cryptocurrency industries remain divided over stablecoin regulation, with JPMorgan Chase CEO Jamie Dimon and Coinbase CEO Brian Armstrong holding opposing views on whether third parties should pay interest on stablecoins, a move banks warn could shift retail deposits away from traditional accounts and increase financial risks.