USDT Grows to Record High Despite Crypto Market Crash

Tether’s leading stablecoin, USDT, stayed stable in the fourth quarter of 2025, even as the wider crypto market faced heavy losses and high volatility. 

New data from Tether’s latest report shows that USDT kept growing in value and usage. This proved the stablecoin a safe option for users during uncertain market conditions.

USDT Stays Strong While Crypto Market Slumps

USDT ended the last quarter of 2025 at its highest market value ever, reaching $187.3 billion. That was a $12.4 billion increase in just three months, even after a big crypto market crash in October.

After the October crash, the wider crypto market took a hard hit. From mid-October to early February 2026, the total value of crypto dropped by more than one-third. Bitcoin (BTC) also fell sharply, dropping to about $71,200, its lowest price since October 2024.

Even with falling prices and high uncertainty, people continued to trust USDT. Its supply grew by 3.5%, while other major stablecoins struggled. USDC fell by 2.6%, and DAI dropped heavily by 57%.

This shows that during tough market times, many investors see USDT as a safer place to hold value.

USDT User Base and On-Chain Activity Hit Record Highs

User adoption continued to drive USDT’s momentum. During the fourth quarter alone, stablecoin added an estimated 35.2 million new users. This brought its total global user base to about 534.5 million people. This marked the eighth straight quarter in which USDT attracted more than 30 million new users.

On-chain activity also showed steady growth. The number of on-chain USDT holders rose by 14.7 million to reach 139.1 million. USDT wallets made up more than 70% of all stablecoin wallets, reinforcing its dominance within the sector. 

Tether also estimated that over 100 million users hold USDT through centralized platforms. Monthly active on-chain users hit a record average of 24.8 million during the quarter. This shows steady, ongoing usage rather than one-time adoption.

Tether Reserves Grow as USDT Use Expands Beyond Crypto Trading

Tether’s reserves expanded in line with USDT’s growing supply. Total reserves increased by $11.7 billion during the quarter, reaching $192.9 billion. These reserves included over 96,000 Bitcoin (BTC), 127.5 metric tons of gold, and $141.6 billion in United States treasury assets.

The report showed that people now use USDT for more than just crypto trading. Many users rely on it to store value, send payments, and manage funds. This is especially in places where local currencies are unstable.

In another related update, news emerged that Tether scaled back its fundraising plans.  Advisers are now talking about raising $5 billion instead of the earlier $20 billion. This points to a more careful approach as markets remain uncertain, even though USDT continues to grow.