The world’s most powerful stablecoin issuer finally opens its books
For years, Tether occupied an uncomfortable position: that of a financial giant issuing over 184 billion dollars in stablecoins without ever undergoing a genuine, complete independent audit. That era appears to be coming to an end. According to reports from the Financial Times and corroborated by several specialized media outlets, Tether has retained KPMG — one of the world’s Big Four accounting firms — to conduct its first comprehensive financial audit.
It’s a bit like the city’s busiest restaurant finally deciding to invite the health inspectors. With a smile this time.
Attestations vs. audits: what’s the difference?
To grasp the scope of this shift, you need to understand the distinction between the two exercises. Until now, Tether relied on monthly attestations carried out by BDO Italia, an Italian accounting firm. An attestation is essentially a point-in-time verification: the firm confirms that the figures provided by Tether appear consistent at a given moment, without necessarily digging into details or verifying all internal processes.
A full audit, by contrast, is a thorough and independent examination of all accounts, procedures, and company assets. KPMG will thus have access to a much broader view of the reserves backing the value of USDT — with each dollar of stablecoin theoretically backed by a dollar (or equivalent) held in reserve.
This distinction is far from trivial in a sector where trust literally forms the foundation of the business model.
PwC behind the scenes
KPMG is not alone in this endeavor. Tether has also reportedly engaged PricewaterhouseCoopers (PwC), another global consulting and audit powerhouse, but in a different role: helping the company modernize and structure its internal systems. In plain terms, PwC is working to prepare Tether for the regulatory requirements on the horizon, while KPMG focuses on the audit itself.
Two Big Four firms for the price of one — Tether is clearly not doing things halfway.
The U.S. regulatory landscape accelerates
This move doesn’t come out of nowhere. It fits into Tether’s clearly stated expansion strategy toward the U.S. market, where the regulatory framework around stablecoins is still taking shape. The GENIUS Act, a bill under discussion in the U.S. Congress, aims precisely to establish clear rules for stablecoin issuers operating in the United States — including strict requirements on transparency and reserves.
Obtaining regulatory approval within this framework requires accounting credibility that monthly attestations alone could no longer ensure. By retaining KPMG, Tether sends a strong signal to regulators: the company is ready to play by the rules of transparency.
Additionally, sources mention a potential capital raise of several billion dollars being considered by Tether. In this context, having a complete audit conducted by a globally recognized firm is not merely a symbolic gesture — it’s a prerequisite.
Long-questioned credibility
It bears recalling that Tether has weathered several turbulent periods regarding transparency. The company has faced recurring criticism from analysts, journalists, and regulators demanding better visibility into the actual composition of its reserves. In 2021, Tether and Bitfinex agreed to pay 18.5 million dollars as part of a settlement with the New York Attorney General, without admitting wrongdoing, following allegations specifically about the nature of its reserves.
Since then, Tether has gradually improved its communications, publishing increasingly detailed reports on the composition of its assets. Engaging KPMG represents another step in this normalization trajectory.
Perspective
The announcement of this audit marks a potentially significant turning point for the entire stablecoin industry. If KPMG confirms the soundness of Tether’s reserves, it could durably strengthen user and institutional confidence in USDT, which remains by far the world’s most-used stablecoin.
Conversely, a complete audit also means total exposure: if any gray areas emerge, they would be far harder to downplay than with a simple attestation. Tether appears willing to take that risk — which, in itself, is already a message.
In a sector aspiring to institutionalize itself and win public trust, transparency is no longer optional. It’s gradually becoming a condition of entry. And apparently, even the world’s largest stablecoin issuer has finally learned that lesson.
