Tether beats BlackRock in profits

Here’s how they pulled it off

Author

Daniel Akpobare
September 12, 2024

GM Explorer,

Tether just surpassed BlackRock with $6.2 billion in profits! How did a stablecoin giant top a finance heavyweight? Let’s dive into the details!

Here’s what we got for you today:

  • 🤑 Tether beats BlackRock in profits!

  • 💰 Solo Bitcoin miner bags $180K block reward!

  • 🧱 Around The Block: Caroline Ellison is finally getting sentenced over FTX’s collapse.

🤑 Tether Beats BlackRock in Profits!

Tether, the world’s largest stablecoin issuer, has pulled in an incredible $6.2 billion in profits over the past year.

That’s more than the financial giant BlackRock, which earned $5.5 billion during the same period!

And it marks a major milestone, showing that cryptocurrency players like Tether are now directly competing with traditional finance in terms of profitability.

But how did they achieve this feat, you ask?

Tether’s success is driven by the rising demand for its stablecoin, USDT, which is pegged to traditional fiat currencies like the U.S. dollar.

USDT offers a stable, reliable way to transfer value between exchanges without the wild price swings often seen with other cryptocurrencies like Bitcoin and Ethereum.

This reliability has made USDT indispensable for traders and institutions, firmly establishing Tether's role as a major player in the digital asset space.

Additionally, the company’s substantial holdings of U.S. Treasury bills and the rise in interest rates have also contributed to its surge in profits.

With over $80 billion in reserves and as global interest rates have increased, Tether earns significant interest on its investments in short-term government debt.

However, Tether still faces challenges regarding transparency and regulation.

Some critics have questioned whether USDT's stable currencies are fully backed by liquid assets, as the company claims

While others have lingering concerns about the company’s disclosure of its reserve assets.

In response, Tether has released quarterly reports detailing its reserves, but regulatory issues remain a key challenge for the stablecoin sector.

For more insights, click here!

💰 Solo Bitcoin Miner Bags $180K Block Reward!

A lone wolf Bitcoin miner just achieved something truly extraordinary!

He processed a block all on his own and managed to cash out a whopping $180,000 as a reward.

How did he pull it off? Well, it wasn't just luck—this miner brought some serious skills to the table.

He managed to crack block 860749, which was packed with nearly 6,000 transactions.

Perhaps the only stroke of luck here was that he belonged to a mining pool (the Solo CK mining pool) where individual miners combine their power to increase their chances of winning big.

But here's the thing: Only the one who actually solves the block gets to go home with the entire reward! Truly lucky, right?

What's even more impressive is that the miner achieved this with just 629 petahashes of power, which is a mere 0.098% of the total power securing the blockchain!

Now, you might be wondering how this solo miner managed to compete with the big players. Well, it's no easy feat, that's for sure.

And believe it or not, this victory only marks the 290th time since Bitcoin's launch in 2009 that a solo miner has hit a jackpot like this.

Usually, huge mining firms like Bit Digital, Riot Blockchain, and Marathon Digital dominate the scene with their massive hash power, but hey, every now and then, a miner from Solo CK swoops in and scores big!

In fact, they've managed to solve 14 other blocks last year, earning them a total of 59.3 Bitcoin (equivalent to $3.4 million).

They've also had a few other lucky strikes this year, with one miner earning $200,000 on August 30 and another walking away with $210,000 in July.

This incredible feat only goes to show that even in a world dominated by massive mining firms, small solo miners can still hit it big!

I mean, this is crypto and friends; anything can happen at any time!

You can get the full report here.

🧱 Around The Block

That's all we've got for you today.

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Catch you soon.

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell assets or make financial decisions.

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