Tether Engages Big 4 Firm for Audit

Key Insights

• Tether has commissioned a Big 4 Audit firm to conduct its first audit.
• The stablecoin issuer stated that it is ready for a comprehensive audit that backs up its claims of having full reserves.
• Tether says audit shows its commitment to transparency and regulatory compliance

USDT issuer Tether has engaged a Big 4 accounting firm to conduct the first full independent audit of its financial statements. The firm announced this on March 24, noting that it will be the biggest inaugural audit in the financial market.

According to Tether, there is now a formal engagement in place. However, it did not state which of the Big 4 firms it has engaged, meaning it could be any of EY, Deloitte, PWC, or KPMG.

Tether Says It is Ready for First Full Audit

Tether’s decision to embark on a full audit comes years after repeated concerns about the reserve backing of its USDT stablecoin. The company has been under public scrutiny since 2021, when US regulators fined it for falsely claiming that USDT was fully backed between June 2016 and June 2019.

While the firm has been publishing attestations confirming the reserve backing of its USDT stablecoin since 2021, concerns about its reserves have persisted. It appears that the company now wants to put those concerns to rest.

Concerns about Tether USDT stability in the crypto industry is not surprising given that it is the biggest stablecoin. With a market cap of $184 billion and over 550 million users worldwide, many believe that USDT failure could be the single biggest catastrophe for the crypto industry.

According to the stablecoin issuer, the audit marks a defining point for the company. The statement noted that an audit by a Big 4 firm is very rigorous, and Tether’s decision to voluntarily undergo one reflects its confidence in its reserves.

Speaking on the audit, Tether CEO Paolo Ardoino stated that Tether willingness to be transparent is a reflection of the work it has put in over the years. While the firm did not specify who the auditors are, it stated that the Big 4 firm was selected through a competitive process and that the engagement onboarding process has already been completed.

Ardoino said:

“Trust is built when institutions are willing to open themselves fully to scrutiny. This audit represents years of work to strengthen our systems so that Tether can meet the highest standards applied in global finance.”

Tether Claims Commitment to Transparency Behind Audit Decision

Meanwhile, the stablecoin issuer stated that the decision to conduct a full audit is to show iys commitment to transparency. According to Tether, this is a pioneering move as stablecoin issuers only provide attestations.

While it acknowledged that the audit will be rigorous, the firm added that it would further improve its position as the market leader.

It said:

“For Tether, the engagement of a Big Four underscores its commitment to providing deep assurance that USD₮ is fully backed, highly liquid, and operated with world-class risk management.”

Interestingly, many believe there could be other reasons behind Tether conducting a full audit. The stablecoin issuer is reportedly seeking to raise new funding. However, has faced challenges as it target a $500 billion valuation amidst pushback from an investor.

The audit could also be part of the compliance requirements in El Salvador, where it was registered in 2025. Under the law, the company is required to provide audited financial statements to the regulators by June.

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