Key Highlights

KPMG has been engaged by Tether to perform a comprehensive audit of its $185 billion USDT reserve holdings
PwC is working with Tether to ready its internal infrastructure in preparation for the comprehensive audit
This comprehensive audit represents a significant step beyond Tether’s existing monthly attestation reports from BDO Italia
Tether aims to expand operations in the United States while seeking to secure $15-20 billion in funding at a $500 billion company valuation
This transparency initiative comes after the implementation of the GENIUS Act, establishing America’s inaugural federal regulatory structure for stablecoins

The issuer of USDT, the world’s most widely-used stablecoin, has enlisted Big Four accounting giant KPMG to execute a comprehensive audit of its reserve assets. Additionally, PwC has been contracted to assist in preparing the company’s internal infrastructure, as reported by the Financial Times.

This development represents a watershed moment for an organization that has encountered persistent scrutiny regarding its financial openness throughout the past decade.

With approximately $185 billion worth of USDT tokens in active circulation, the stablecoin plays a crucial role in cryptocurrency trading and ranks among the most significant institutional purchasers of United States Treasury securities.

Historically, Tether’s financial reporting has consisted primarily of monthly attestation reports produced by BDO Italia. In contrast, a comprehensive audit conducted by KPMG would provide substantially more detailed scrutiny, examining asset holdings, liability structures, operational controls, and financial reporting frameworks.

Simon McWilliams, serving as Tether’s Chief Financial Officer, stated this week that the organization has “already operating at Big Four audit standard” and confirmed that “the audit will be delivered.” While Tether had previously acknowledged engaging a Big Four accounting firm, the specific identity remained undisclosed until the Financial Times revealed KPMG as the auditor.

Tether’s Track Record on Financial Disclosure

Historically, Tether has resisted various transparency initiatives. Back in 2021, CoinDesk submitted a Freedom of Information Act request to New York’s Attorney General seeking comprehensive information about USDT’s reserve asset composition.

Tether mounted legal challenges against the disclosure and suffered defeats in court on two separate occasions. Documentation ultimately obtained in 2023 revealed that during March 2021, Tether maintained the bulk of its then-$40.6 billion reserve portfolio at Deltec Bank, headquartered in the Bahamas. The reserve composition showed significant concentration in commercial paper instruments issued by major Chinese financial institutions, including Agricultural Bank of China, Bank of China Hong Kong, and ICBC.

This latest audit initiative signals a dramatic departure from the company’s previous stance opposing public financial transparency.

American Market Entry and Capital Raising Initiatives

The decision to pursue a comprehensive audit coincides with Tether’s strategic plans to establish operations within the American market. Simultaneously, the organization is working to secure between $15 billion and $20 billion in new investment capital, with a target company valuation of $500 billion.

Previous Financial Times coverage indicated that potential investors have expressed reservations, particularly regarding valuation metrics and regulatory uncertainty.

Tether’s enhanced transparency efforts are largely motivated by evolving United States regulatory requirements. The GENIUS Act, which became federal law last July, created America’s first comprehensive regulatory framework governing stablecoin operations.

Operating under this legislative framework, Tether has introduced USAT, a compliant dollar-backed token designed to meet U.S. regulatory standards.

With headquarters in El Salvador, the company is strategically positioning itself to satisfy American regulatory expectations as digital assets achieve broader integration into traditional financial infrastructure.

Tether has yet to issue official public statements regarding the KPMG engagement.

The post Tether Enlists KPMG for Comprehensive Audit of $185B USDT Reserves appeared first on Blockonomi.

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Filed under: Bitcoin - @ March 27, 2026 8:23 am