Tether taps KPMG for USDT audit

Tether, the issuer of the USDT stablecoin, has chosen KPMG as its “Big Four” auditor and hired PwC to help ready its internal systems, people familiar with the matter told the Financial Times.

The reported engagements would be Tether’s clearest move toward a full financial statement audit for USDT, which has about US$185 billion in circulation.

A full audit would go beyond the monthly reserve attestations Tether publishes from BDO Italia and would review assets, liabilities, controls, and reporting processes.

Tether has faced long-running questions about its reserves, and documents released in 2023 from a New York Attorney General records request described its March 2021 reserve holdings and banking relationships.

🔗 Source: CoinDesk

🧠 Food for thought

Implications, context, and why it matters.

### Tether’s reported audit push aligns with the GENIUS Act compliance timeline

Tether’s reported talks with large audit firms follow the U.S. GENIUS Act, enacted in July 2025, which sets the first federal framework for payment stablecoins 1.
The GENIUS Act tells a permitted payment stablecoin issuer to file an annual financial statement audited by a registered public accounting firm when consolidated total outstanding issuance tops $50 billion, if the issuer is not subject to reporting under the Securities Exchange Act of 1934 1.
Tether has reportedly started a GENIUS Act-aligned stablecoin for the U.S. market called USAt, yet the Financial Times report focuses on USDT and Tether’s move toward a full audit for that flagship token 2.
Agencies are still writing the rules, so the GENIUS Act takes effect on the earlier of 18 months after July 18, 2025, or 120 days after final implementing regulations, which puts the 18-month outside date at January 18, 2027 3.

### A fully audited USDT could strengthen stablecoins’ challenge to traditional banking

A full audit would add to monthly reserve attestations by reviewing assets, liabilities, internal controls, and financial reporting practices [summary].
Clearer rules can speed institutional crypto use, and Goldman Sachs research says 71% of institutions plan to increase exposure 4.
Wider stablecoin use as payment rails could press commercial banks that have long held exclusive access to core Federal Reserve payment and settlement services 5.
Forecasts point to rapid expansion, with Treasury Secretary Scott Bessent estimating stablecoins outstanding could reach $3 trillion by 2030, while EY (Ernst & Young, a large professional services firm) estimates stablecoins could handle 5%–10% of cross-border payments by 2030 5.