Crypto Giants Report Huge 2024 Profits

TLDR

• 2024 was a great year for crypto companies and their bottom line.
• Kraken doubled its revenue from 2023 and hit $1.5 billion.
• Tether recorded $13 billion in profits.

2024 was quite kind to Kraken and Tether. Both companies have reported jaw-dropping profits.

Whether you’re working through your first few trades or just trying to understand how this market functions, here’s a look at what these big wins mean for the industry at large.

Kraken Doubles Its Revenue in 2024

Kraken, one of the largest and most recognizable crypto exchanges, dropped a financial bombshell on January 31st. 

According to the company’s 2024 financial report, its revenue hit $1.5 billion — more than twice what it earned in 2023. 

But what’s behind this major growth? For starters:

• Kraken held $42.8 billion in assets on its platform, making it a major player in the crypto asset management space. 
• The exchange also reached 2.5 million funded accounts, showing its ability to attract new users. 
• Its total trade volume skyrocketed to $665 billion.

Source

This growth is especially impressive considering market volatility and increased scrutiny around crypto operations globally. 

For new users, Kraken’s success indicates the growing demand for trustworthy and user-friendly exchanges. Whether you’ve set up shop on Kraken or another platform, these figures show an appetite for crypto trading that has no sign of slowing down — at least for now.

What It Means for Users 

Kraken’s performance highlights two main takeaways:

• There’s still a healthy supply of activity flowing within the crypto market, backed by large, well-established players.
• Profitability for such companies suggests they have the infrastructure to weather market storms, a good signal for users looking for safer options to start their trading experience.

Tether Has a $13 Billion Year 

Not to be outdone, stablecoin issuer Tether also reported staggering profits for 2024. Their own financial performance sets an even higher benchmark. 

According to a year-end report, reviewed and verified by independent accounting firm BDO, Tether’s total profits for the year soared beyond $13 billion. For Q4 alone, the company raked in a cool $6 billion.

And it wasn’t just profits flowing in:

• Tether’s direct and indirect exposure to U.S. Treasurys hit an all-time high of $113 billion, cementing its reputation as the world champ of stablecoins. 
• The firm also upped its reserve buffer to over $7 billion, reflecting a 36% growth from the previous year. 
• By the end of 2024, Tether had issued $45 billion in USDT — the stablecoin pegged to the U.S. dollar and relied on heavily by traders seeking to avoid market volatility.

Why It Matters

If you’re using (or have considered using) stablecoins like Tether’s USDT, the company’s $13 billion profit is a reassurance of its key role in the crypto ecosystem. 

It’s a reminder that stablecoins help bridge the gap between the volatile crypto world and the relative security of traditional financial systems. Tether is proving they’re also big business.

What’s Driving These Record Numbers? 

Both Kraken and Tether’s 2024 successes ride high on a mix of factors:

1. Global Adoption: More people are coming into the crypto space every day. Whether for trading, investing, or simply hedging against traditional market fluctuations, the overall increase in user numbers means more activity on platforms like Kraken and more demand for stablecoins like USDT.
2. Institutional Confidence: Companies and institutions are treating crypto as a viable asset class. This institutional involvement injects additional funds and creates an environment of legitimacy. Tether’s record-high U.S. Treasury holdings reflect institutions using stablecoins as financial tools.
3. Strong Leadership: Both Kraken and Tether’s top brass have been vocal about plans to innovate, expand, and double down on transparency. When leadership is focused, companies perform better, which shows in their numbers.

Why Beginners Should Pay Attention 

For those new to the game, these reports offer a few important lessons:

• The Big Players Aren’t Slowing Down – Exchanges like Kraken and stablecoin issuers like Tether aren’t just surviving — they’re thriving. This growth could hint at steadier infrastructure and fewer rug-pull risks moving forward. 
• Market Maturity Is Happening – If crypto felt like the Wild West a few years ago, reports like these show that some order is emerging. The emphasis on assets under management and reserve buffers signals that leading firms take their responsibilities seriously. 
• Opportunities (and Risks) Are Still Alive –  While the profits are promising, it’s also a good reminder that things in crypto can change fast. Staying informed, making calculated decisions, and doing your due diligence remain key — no matter how impressive the revenue numbers look.

Kraken and Tether’s gigantic profits for 2024 reinforce the fact that crypto has become a more legitimate financial market. For major players, the combination of expanding user bases, advanced technology, and growing institutional trust means profitability is within reach. 

For beginners, these developments signal a maturing market that makes venturing into the crypto space feel less terrifying.

Always remember to stay safe. Promising revenue and profits doesn’t guarantee future returns. Keep an eye on Dypto Crypto news for all the latest reports broken down with the new crypto user in mind.