Tether Holdings Limited has hired BDO Italia a member of the BDO Global accounting organization to carry out routine (Monthly) assessments and attestations of its dollar reserves.
According to information released by the firm on Thursday, Tether, which manages the USDT stablecoin, started collaborating with BDO Italia in July.
To make sure that each unit of USDT is backed by cash or cash equivalents, BDO Italia will be in charge of performing an impartial evaluation of Tether’s stablecoin holdings.
Tether hopes to replace its quarterly public attestation reports with monthly ones through BDO’s audits. Updates on the quantity of USDT tokens issued and the company’s reserves are part of the attestations.
Tether’s chief technology officer, Paolo Ardoino, claimed that the company’s commitment to greater transparency reflected its expanding role beyond only providing liquidity to cryptocurrency traders:
“The utility of Tether has grown beyond being just a tool for quickly moving in and out of trading positions, and therefore it is mission-critical for us to scale alongside the peer-to-peer and payments markets.”
As part of a deal with the New York Attorney General’s Office in February of the same year, Tether started posting quarterly attestations of its stablecoin reserves in May of that year.
The local accounting firm Moore Cayman has previously completed various assurance checks on Tether to ensure that its reserves exceeded its liabilities.
Initial attestations of Tether revealed a significant percentage of its reserves were backed by commercial paper. Later, the corporation had plans to completely eliminate its exposure to commercial paper.
It was predicted that Tether’s holdings of commercial paper would be worth about $3.5 billion by the end of July, down from $20.1 billion in March.
With a market valuation of $67.6 billion, USDT continues to be the most valuable stablecoin. The supply of USDT started to slowly increase in August after a three-month slump, giving rise to cautious optimism that the cryptocurrency market was stabilizing.
About BDO Global
The Italian division of BDO Global, a worldwide network of public accounting companies with its main office in Zaventem, Belgium, is known as BDO Italia. According to overall revenue, BDO Global is one of the top five accounting firms in Europe.
The business has locations in the Americas (North and South), Europe, the Middle East and North Africa, and Asia-Pacific.
