Headline: Tether hires KPMG for first full USDT audit, brings in PwC as it eyes U.S. expansion
Tether has taken a major step toward greater financial transparency as it prepares for increased U.S. regulatory scrutiny: the company has hired KPMG to conduct what has been reported as the first full audit of USDT’s financial statements, and has engaged PwC to help shore up internal controls and reporting ahead of that process, the Financial Times reported.
What’s changing
- Until now, Tether relied on periodic reserve attestations from BDO Italia—snapshots confirming reserve positions at specific points in time. A full audit goes much further: auditors examine the company’s assets, liabilities and internal controls across the entire balance sheet rather than only verifying reserves at isolated dates.
- Tether described the planned review as “the biggest ever inaugural audit in the history of financial markets,” saying it selected a Big Four firm after a competitive process and already operates at Big Four “audit standards.” The firm did not announce a public deadline for the audit’s completion.
Why it matters
- The audit comes as Tether eyes broader activity in the U.S., including potential entry under the federal stablecoin framework contemplated by the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act. A full audit would strengthen Tether’s reporting credentials as it engages with a stricter regulatory environment.
- USDT remains the largest stablecoin by market value. CoinGecko data place roughly $185 billion of USDT in circulation. In January, Tether said it held more than $122 billion in direct U.S. Treasury securities and about $141 billion in total Treasury exposure when including overnight reverse repurchase agreements and similar instruments.
Background and outstanding issues
- Tether previously confirmed it had hired a Big Four firm for its inaugural full financial-statement audit but did not publicly name the auditor at the time; the FT report identifies KPMG.
- The audit plans coincide with reports that Tether discussed a possible equity raise. Bloomberg reported in September 2025 that Tether had explored raising up to $20 billion at a $500 billion valuation; CEO Paolo Ardoino later disputed that the figure was agreed while maintaining a $500 billion valuation target tied to profits.
- The company still faces regulatory and legal scrutiny over earlier reserve claims. The Commodity Futures Trading Commission fined Tether $41 million for what it called “untrue or misleading statements” about reserve backing, and Tether agreed to an $18.5 million settlement with the New York Attorney General over allegations it hid losses and misled investors about USDT’s backing.
What to watch next
- Whether KPMG and PwC set a timeline for the audit and internal-control overhaul.
- How audit findings, if released publicly, affect Tether’s efforts to operate under U.S. stablecoin rules and its broader market position.
(Report references: Financial Times, CoinGecko, Tether disclosures, Bloomberg, CFTC and New York AG settlements.)
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