Stablecoin issuer Tether is preparing to conduct its first full independent audit of the reserves backing its flagship stablecoin USDT, according to reports from the Financial Times.
The report states that Tether has selected KPMG to carry out the comprehensive audit of the reserves supporting the roughly $185 billion USDT stablecoin.
In preparation for the process, the company has also engaged PwC to help strengthen internal systems, financial controls, and reporting frameworks required for a full-scale audit.
The move marks a significant step for Tether, which has long faced scrutiny from regulators, policymakers, and market participants regarding the transparency of the assets backing USDT.
Since its launch in 2014, the company has primarily relied on periodic reserve attestations rather than full independent financial statement audits.
Unlike attestations, which verify balances at a specific moment in time, a full audit involves a comprehensive review of financial records, internal controls, liabilities, and asset holdings. Such an examination is considered the gold standard for financial transparency and accountability.
USDT remains the largest stablecoin in the global cryptocurrency market, widely used for trading, payments, and liquidity across digital asset exchanges and decentralized finance platforms.
With a market capitalization exceeding $180 billion, the stablecoin plays a central role in the broader crypto ecosystem.
Industry observers say that completing a full audit could significantly improve confidence in Tether’s reserves, particularly as regulators around the world introduce stricter oversight of stablecoins and digital asset service providers.
The decision to involve major accounting firms also reflects the growing institutionalization of the crypto sector.
As digital assets become increasingly integrated into mainstream financial markets, issuers are facing rising expectations to meet the same transparency and compliance standards applied to traditional financial institutions.
If completed successfully, the audit could represent a milestone in Tether’s efforts to strengthen credibility and align its operations with evolving regulatory frameworks.
The process is expected to take time, as auditors review complex reserve structures and financial reporting systems supporting one of the largest stablecoins in the digital asset industry.
