Tether Hires Big Four Firm for First Full Audit of USDT Reserves

Tether, the company behind the largest stablecoin USDT, has hired a Big Four accounting firm to conduct its first full financial audit of the reserves backing USDT. The move comes as Tether seeks to increase transparency and trust among its users.

The Big Four grouping includes Deloitte, PwC, EY, and KPMG, but Tether has not named the specific firm it has hired. The company's CFO, Simon McWilliams, said that the firm was chosen through a competitive process because it operates at Big Four audit standards.

The audit will go beyond quarterly attestations previously published by Tether, which only confirmed reserve balances at a single moment in time. A full audit examines assets, liabilities, and internal controls on a continuous basis.

Tether's reserves are held mostly in U.S. Treasury bills, with smaller allocations going to gold, Bitcoin, and various loans. Critics have questioned the liquidity of these assets during market downturns.