Fifth-largest global accounting firm confirms Tether reserves back USDT

BDO Italia has presented an opinion on the sufficiency of Tether Holdings’ reserves to fully back the stablecoin USDT.

Tether Releases Independent Auditor Report From Top 5 Accounting Firm BDO, Reinforcing its Dedication To Transparency And Revealing Another Major Cut To Commercial Paper Holdingshttps://t.co/an5O5KX8xd

— Tether (@Tether_to) August 19, 2022

The firm analysed the issuer’s assets and liabilities as of June 30, 2022.

Tether Holdings’ liabilities on the reporting date stood at $66.2 billion, assets at $66.4 billion. The latter consisted of:

• $28.8 billion in U.S. Treasury bills;
• $8.5 billion in commercial paper;
• $6.8 billion in money-market funds;
• $5.4 billion in cash.

“The usefulness of USDT is underpinned by the transparency of its reserves. The source of stability allows us to create a tool for the world economy,” wrote Tether’s CTO Paolo Ardoino.

The company said it would increase the frequency of auditor’s reports — they will now be issued monthly, rather than quarterly.

The USDT issuer confirmed plans to reduce the amount of commercial paper to $200 million by the end of August, with full elimination of these assets by year end. In Q2, the position fell by 58%.

Earlier, Tether called hedge funds’ idea of shorting USDT “categorically erroneous.”

In mid-May the stablecoin deviated from the US dollar peg, testing $0.94, but later returned to parity.

On 18 June, the Tether Holdings site was subjected to a major DDoS attack. The issuer’s CTO said at the time that the incident would not affect the ability to redeem positions in USDT.

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