How Do Stablecoins Make Money? Tether, Circle & Reserve Income Explained
Photo: CoinCentral
Stablecoins are built to hold a steady price. A token pegged to $1 stays near $1, so holders do not gain from price moves. Yet the companies that issue these tokens report profits in the billions. The reason is simple. Issuers hold the dollars that back each token and earn interest on them. This article uses data from five published sources to show where the money comes from, how Tether and Circle compare, and what could change the picture. The scale helps explain the interest. Stripe reports that stablecoin retail-sized transactions passed $5.84 billion in August 2025 alone.
Source: CoinCentral
