Summary
According to a TechFlow report citing The Block, KPMG U.S. has completed the first full audit of Tether International, S.A. de C.V., covering the financial statements for the year ended December 31, 2025. Tether said the review verified holdings including roughly 150 metric tons of gold, more than 100,000 bitcoin and over $6 billion in excess equity.
A long-awaited audit milestone
Tether has completed what it describes as its first full financial audit since the company was established, according to a TechFlow report citing The Block. The engagement was conducted by KPMG U.S. and covered the financial statements of Tether International, S.A. de C.V. for the year ended December 31, 2025.
Tether CEO Paolo Ardoino discussed the audit during an interview with The Starting Block. He presented the engagement as a significant milestone for the company and for the stablecoin sector more broadly. Tether has spent years publishing reserve-related attestations, but critics and market participants have repeatedly called for a more comprehensive audit by a major accounting firm.
The distinction matters because a full audit is generally broader than a limited attestation. It is designed to provide an opinion on specified financial statements for a defined reporting period, subject to the applicable auditing framework. It does not, by itself, provide a permanent guarantee about an issuer’s assets, liabilities, liquidity or future ability to meet redemption demands. Those factors can change after the reporting date and require continuing disclosure and independent analysis.
What the reported audit covered
The entity identified in the report is Tether International, S.A. de C.V., rather than every business or legal entity associated with the Tether brand. Ardoino said the entity’s balance sheet was relatively straightforward because it contained a limited number of broad asset categories. The practical questions for users of the report will therefore include how those assets were identified, valued, controlled and presented against the company’s liabilities.
Tether said the audit verified approximately 150 metric tons of gold and more than 100,000 bitcoin held among its reserves. It also reported more than $6 billion in excess equity. The source material provided for this article does not include the complete audit opinion, the accompanying notes, detailed valuation methodology, custody information or the precise composition of all reserve assets. Those details are important for interpreting the headline figures and are not replaced by management statements or summaries of an interview.
For institutional wallet operators, custodians, payment providers and other infrastructure firms, the asset category alone is not enough to determine stablecoin risk. Gold and bitcoin have different liquidity, volatility, custody and valuation characteristics from cash and short-dated government securities. A meaningful review would also consider legal ownership, segregation, access controls, concentration, liquidation conditions and the relationship between reserve assets and outstanding obligations.
Why the audit took so long
Ardoino said the delay was not primarily caused by the complexity of Tether’s balance sheet. Instead, he pointed to the political and regulatory environment in the United States, particularly under the previous administration, as a source of uncertainty for accounting firms. He also referred to public criticism of Tether by prominent U.S. political figures and suggested that such criticism made major accounting firms more cautious about working with the company.
That explanation highlights a broader challenge for digital-asset companies seeking traditional professional services. An issuer may maintain extensive accounting records and internal controls, yet still face difficulty securing an auditor because of legal exposure, regulatory ambiguity and reputational considerations. The issue is especially sensitive for stablecoin issuers, whose operations sit between financial-market infrastructure, payments and the crypto-asset ecosystem.
Tether said that it resumed discussions with several of the Big Four accounting firms after the U.S. policy environment became more supportive of digital assets and ultimately selected KPMG U.S. The company’s account is a management explanation for the timing; it does not independently resolve the broader questions around prior disclosures, regulatory expectations or the standards applied in earlier reporting periods.
The completion of an audit also should not be treated as the end of regulatory scrutiny. An audit applies to a defined legal entity, reporting period and set of financial statements. It is not a substitute for a regulator’s examination, a legal analysis of redemption rights or an operational review of custody and payment arrangements. Nor does it establish that the asset mix will remain unchanged in subsequent quarters.
From quarterly attestations to annual audits
Tether said it intends to undergo a full financial audit every year while continuing to publish quarterly attestation reports. If implemented consistently, that would create two different layers of reporting. The annual audit would offer a more comprehensive review of the financial statements for a completed fiscal year, while quarterly attestations could provide more frequent updates on reserve positions.
Users will still need to distinguish between the two. An attestation and a full audit can involve different procedures, levels of assurance, reporting formats and disclosure detail. The value of the program will depend in part on whether future reports clearly explain the scope of work, the entities included, the reporting dates, the reserve composition and any material changes during the period.
This distinction is particularly relevant for institutions integrating stablecoins into treasury, settlement or wallet operations. Financial-statement assurance can improve the quality of information available to risk teams, but it does not address every operational concern. Institutions may also need to evaluate private-key and account controls, counterparty exposure, business continuity, sanctions and anti-money-laundering obligations, jurisdictional requirements and the practical mechanics of redemption or transfer.
Equity and governance remain separate questions
The interview also touched on Tether’s ownership structure and possible private financing. Ardoino said that Tether did not need external capital, while acknowledging strong market interest in the company’s shares. He said the company would be cautious in selecting potential shareholders whose objectives are aligned with its mission.
That response indicates that transparency questions extend beyond reserve assets. Market observers may also ask who controls the issuer, how excess equity is allocated, how profits are retained, and whether the entry of outside shareholders could affect governance or risk appetite. The reported figure of more than $6 billion in excess equity does not, on its own, establish that a financing transaction is imminent. The source material does not identify potential investors, describe deal terms or provide evidence of a change in control.
For institutional users, governance is relevant because stablecoin exposure is not only a question of asset backing. Decision-making authority, legal recourse, internal controls and the issuer’s ability to operate across jurisdictions can affect the risk profile of a token used in payments or digital-asset infrastructure.
What to watch after the announcement
The audit is an important milestone for Tether, but its longer-term significance will depend on what follows. Key questions include whether annual audits are completed on a recurring basis, whether quarterly attestations remain comparable with annual financial statements, whether the reserve mix changes materially, and how clearly Tether explains valuation, custody and liquidity risks.
The event may also influence expectations for the broader stablecoin market. As financial institutions and payment companies assess digital-asset infrastructure, they are likely to place greater weight on independently reviewed financial information. At the same time, a single audit should not be interpreted as proof that all risks have disappeared or that future reserve conditions are guaranteed.
The information currently reported confirms an audit milestone tied to a specific entity and reporting period. It does not provide a permanent assurance about Tether’s future balance sheet. Institutions considering any stablecoin within a wallet, custody or payment framework would still need to conduct their own review of disclosures, legal documentation, reserve structure, operational resilience and applicable compliance obligations.
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