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The report serves as a third-party attestation, providing a snapshot of reserves at a specific moment in time, rather than a comprehensive audit of the company’s finances.
Tether logo (Tether/Modified by CoinDesk)
What to know:
- Tether has published its inaugural reserve report for its newly regulated U.S. stablecoin, USAT, which was assessed by Deloitte, revealing $17.6 million in reserve assets supporting 17.5 million tokens.
- The report constitutes a third-party attestation, offering a snapshot of reserves at a designated moment, as opposed to a complete audit of the company’s finances.
- The USAT token is crafted to adhere to emerging U.S. regulations, and Tether’s stablecoin sector is experiencing rapid growth, with a total market capitalization exceeding $315 billion, primarily driven by Tether’s USDT and Circle’s USDC.
Leading stablecoin provider Tether has obtained approval from Deloitte for the first reserve report associated with its new U.S.-regulated stablecoin, following years of challenges with major accounting firms.
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Deloitte evaluated a report created by Anchorage Digital Bank, which issued the company’s new USAT token. In a letter released on Monday, the accounting firm indicated that Anchorage reported $17.6 million in reserve assets backing 17.5 million USAT tokens currently in circulation. Since the report, the token’s market capitalization has grown to nearly $20 million as its expansion accelerates.
The overall market capitalization of the stablecoin sector has indeed been expanding swiftly. It has surpassed $315 billion, according to CoinMarketCap data, with Tether’s USDT accounting for $183 billion of that total. Circle’s USDC ranks second, at $76 billion.
The new USAT token was introduced following the enactment of the Genius Act last summer. This legislation restricts the types of assets that can support stablecoins and mandates that larger issuers operate under federal oversight. USAT is structured to comply with these regulations.
However, third-party attestations like this differ from comprehensive audits. They provide a snapshot of reserves at a particular moment rather than an in-depth examination of company finances.
Tether has been utilizing the revenue generated from the assets backing its stablecoins to invest across a variety of sectors. These investments include a majority stake in the Latin American agricultural company Adecoagro (AGRO), a privacy-oriented health application, and a stake in the video-sharing platform Rumble (RUM). Recently, it also invested $200 million in the digital marketplace Whop.
