The post Tether seeks Big Four firm for its first full financial audit — Report appeared on BitcoinEthereumNews.com.

Stablecoin issuer Tether is reportedly engaging with a Big Four accounting firm to audit its assets reserve and verify that its USDT (USDT) stablecoin is backed at a 1:1 ratio. Tether CEO Paolo Ardoino reportedly said the audit process would be more straightforward under pro-crypto US President Donald Trump. It comes after rising industry concerns over a potential FTX-style liquidity crisis for Tether due to its lack of third-party audits. Tether to produce first full audit after scrutiny “If the President of the United States says this is top priority for the US, Big Four auditing firms will have to listen, so we are very happy with that,” Ardoino told Reuters on March 21. “It’s our top priority,” Ardoino said. It was reported that Tether is currently subject to quarterly reports but not a full independent annual audit, which is much more extensive and provides more assurance to investors and regulators. However, Ardoino did not specify which of the Big Four accounting firms — PricewaterhouseCoopers (PwC), Ernst & Young (EY), Deloitte, or KPMG — he plans to engage. Tether recorded a profit of $13.7 billion in 2024. Source: Paolo Ardoino Tether’s USDT maintains its stable value by claiming to be pegged to the US dollar at a 1:1 ratio. This means each USDT token is backed by reserves equivalent to its circulating supply.  These reserves include traditional currency, cash equivalents and other assets. Earlier this month, Tether hired Simon McWilliams as chief financial officer in preparation for a full financial audit. Industry concerns over Tether’s lack of audits In September 2024, Cyber Capital founder Justin Bons was among those in the industry who voiced concerns about Tether’s lack of transparency. “[Tether is] one of the biggest existential threats to crypto. As we have to trust they hold $118B in collateral…

---

Filed under: News - @ March 22, 2025 5:09 pm