KPMG Audit Clears Tether Reserves, Paves Way for AI Expansion

Tether, the issuer of the largest stablecoin USDT, has published results from an independent audit by Big Four accounting firm KPMG. The audit confirmed that Tether holds around 150 tons of gold backing its XAUT token and found reserves exceed liabilities by $6.8 billion.

The review targeted one of crypto's oldest disputes: whether Tether's $183 billion supply of USDT stablecoins sits behind sufficient collateral. KPMG spent weeks verifying gold bars stored inside a secured Swiss vault, according to CEO Paolo Ardoino.

Tether plans basic AI applications for health, finance, and sports built to run on ordinary phones with limited connectivity. The company's user base now tops 650 million wallets worldwide, concentrated in Africa and South America.

The KPMG audit gives Tether credibility by providing independent verification that its reserves cover its liabilities. However, the AI push carries different risks than the reserve question did, including regulatory scrutiny on health data handled on-device.