Tether has reportedly hired KPMG to carry out its first full audit of USDT reserves, a move that would take the company beyond periodic attestations and into a broader review of its financial position. The Financial Times said PwC is also helping prepare internal systems before the audit begins. The step comes as Tether expands in the United States and as USDT circulation stands at roughly $185 billion.
Audit scope extends past reserve attestations
Tether currently relies on regular reserve reports from BDO Italia. A full audit would go much deeper. Instead of focusing on reserve snapshots alone, it is expected to examine assets, liabilities, and internal controls in detail. According to the report, KPMG’s work is expected to cover the full balance sheet, while PwC is focused on system readiness ahead of the formal process.
Tether CFO Simon McWilliams previously said the company already operates at a “Big Four audit standard” and added that a full audit would be delivered. Bringing in KPMG now points to a more detailed level of financial disclosure than the company has provided in the past.
U.S. expansion and new stablecoin rules form the backdrop
The timing matters. Tether is preparing for a broader push in the U.S. market and is also exploring a potential fundraising round of between $15 billion and $20 billion. Talks have slowed, according to the report, because of investor concerns tied to valuation and regulation.
The regulatory picture is changing as well. The report said the GENIUS Act has established a federal framework for stablecoins in the United States, and Tether has already launched a compliant dollar-pegged token under that structure. For a stablecoin issuer trying to deepen its U.S. footprint, a full audit fits closely with rising compliance expectations.
Reserve scrutiny has followed Tether for years
Questions around Tether’s reserves are longstanding. Earlier disclosures showed significant reliance on commercial paper and bank deposits, putting sustained attention on the composition of the assets behind USDT. That scrutiny has remained in place because USDT is still a central source of liquidity across crypto markets.
Tether previously settled with the Commodity Futures Trading Commission over misleading reserve statements and also reached an agreement with the New York Attorney General on disclosure practices. Those outcomes required the company to publish more detailed reserve reports for a defined period. Against that history, the planned KPMG audit represents a wider review of Tether’s financial condition.
The report also noted that Tether holds large exposures to U.S. Treasury securities and related instruments, linking crypto market liquidity more directly to government debt markets. For an issuer backing one of the market’s main dollar proxies, the audit carries weight well beyond a routine accounting exercise.