Hassan Maishera
TL;DR
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Tether has hired KPMG to conduct a full audit of its $185 billion USDT stablecoin reserves.
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The company also tapped another Big Four firm, PwC, to help prepare its internal systems, as it prepares to expand into the U.S. market.
KPMG to Audit Tether’s USDT Reserve
The Financial Times reported on Thursday that Tether has selected KPMG to audit its $185 billion dollar-pegged USDT stablecoin, citing sources close to the matter.
The report added that Tether also hired PwC to prepare its internal systems ahead of the audit, as it takes a huge step toward full financial scrutiny
This latest development comes after reports emerged earlier this week that Tether had entered a formal engagement with a Big Four auditor, but the stablecoin issuer did not identify the firm. CFO Simon McWilliams said at the time that Tether was “already operating at Big Four audit standard” and that “the audit will be delivered.”
Tether is making these moves as it prepares for a U.S. expansion and a potential fundraising round.
Last month, Tether revealed that it expanded its workforce to about 300 employees and intends to add another 150 over the next 18 months. Tether is also hiring for non-engineering roles, including AI filmmakers in Italy, venture associates in the UAE, and regulatory specialists in Ghana and Brazil. This latest development is supported by the strong growth in Tether’s USDT adoption.
The efforts Tether is putting into auditing its books come after The Finance Times previously reported that the company is facing investor hesitation in efforts to raise $15 billion to $20 billion at a $500 billion valuation, with concerns centered on pricing and regulatory risk.
USDT, with a market cap of $185 billion, functions as the reserve currency of crypto markets and a major buyer of U.S. Treasury bills.
A full financial statement audit would go well beyond the monthly attestations currently published by BDO Italia, requiring a detailed review of assets, liabilities, internal controls, and reporting systems.
The audit would also allow Tether to challenge Circle’s claims of being the regulatory-friendly stablecoin.
