A recent audit has confirmed that Tether, the issuer of the USDT stablecoin, holds billions in surplus reserves, strengthening its financial position.
The report, conducted by accounting firm BDO Global, assessed Tether’s holdings as of December 31, 2024, and found that the company’s assets exceeded its liabilities by over $7 billion.
According to the audit, Tether’s total assets amount to approximately $143.7 billion, while its liabilities—primarily in the form of issued USDT—stand at around $136.6 billion. This surplus suggests that the company has a significant financial cushion to maintain the stability of its dollar-pegged cryptocurrency.
The breakdown of Tether’s holdings reveals that a substantial portion of its reserves—around $118.3 billion—is held in cash and cash equivalents, with U.S. Treasury bills making up the majority. In addition to these highly liquid assets, Tether’s reserves include $5.3 billion in precious metals, $7.8 billion worth of Bitcoin, $8.1 billion in secured loans, $14 million in corporate bonds, and $3.9 billion in various other investments.
Tether’s financial transparency has been a subject of controversy in the past. In 2022, a group of investors accused the company of failing to properly back its stablecoin, leading to legal action that resulted in a court order demanding evidence of sufficient reserves. At the time, Tether pushed back against the lawsuit, calling the demands “overbroad” and arguing that they placed an undue burden on the company.
To address concerns about its reserves, Tether now provides daily updates on its financial standing through a transparency page on its website. These reports are intended to assure investors and regulators that USDT remains fully backed. With the latest audit confirming a significant surplus, Tether is likely to use the findings to reinforce its credibility and defend against ongoing skepticism surrounding stablecoin reserves.
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