Tether's USDT Adoption in Bolivia Drives 2024 Profit Projections to $13 Billion

Tether, the world’s largest stablecoin issuer, is making significant strides in Latin American retail markets, with Bolivian merchants now pricing goods directly in USDT. This grassroots adoption highlights the growing role of cryptocurrency in everyday commerce. Meanwhile, analysts are focusing on Tether’s impressive financials, projecting $13 billion in 2024 profits and a potential $515 billion valuation if the company were to go public.

Despite speculation from industry figures, Tether CEO Paolo Ardoino dismissed the need for an initial public offering, expressing confidence in the company’s private structure and expanding influence. Ardoino described the integration of USDT into daily commerce as a “quietly revolutionary shift,” sharing images of Bolivian shops displaying prices directly in USDT. This move underscores how Tether has become a part of everyday economic activities in the region.

Financial analyst Jon Ma recently projected that Tether could rank as the 19th largest company globally with a $515 billion valuation if it went public today. This projection is based on Tether’s reported $13 billion in net profits for 2024, with $7 billion derived from Treasury securities and repos, and an additional $5 billion from unrealized gains on Bitcoin and gold reserves. The projection assumes USDT supply growth of $50-60 billion and an average supply of $170 billion in 2025.

Responding to the valuation estimate, Ardoino called the $515 billion figure “beautiful” but also suggested it might be “bearish” considering Tether’s expanding Bitcoin and gold treasury holdings. Industry figure Anthony Pompliano pushed the speculation further by suggesting a $1 trillion potential valuation. However, Ardoino’s dismissal of the immediate need for an IPO indicates confidence in Tether’s current private structure and financial performance.

In contrast to Circle’s choice to go public through a SPAC merger, Tether is reluctant to pursue public listing. The retail USDT integration in Bolivia highlights the general trend of crypto acceptance in Latin America. This development follows similar patterns in other Latin American markets where USDT has acted as both a store of value and a medium of exchange. USDT remains the largest stablecoin by market cap, with a market cap of $154.8 billion as per CoinMarketCap data.