Today, Tether Holdings Limited made available its latest quarterly assurance opinion completed by BDO, a top five-ranked global independent public accounting firm. The attestation re-affirms the accuracy of Tether’s Consolidated Reserves report, which breaks down the assets held by the group as of June 30, 2022.
As of June 30th, the CCR and BDO confirmed a more than 58% decrease in Tether’s commercial paper holdings over the prior quarter from $20B to $8.5B, which is on track with Tether's commitment to the community. As previously announced, the exposure to commercial papers will be down to 200m by the end of August 2022 and to zero before the end of the year. During the same period, Tether has increased its holdings of cash and bank deposits by 32%.
The attestation indicates a continued reduction in commercial paper investments by the Company and demonstrates that the group’s consolidated assets consistently exceed its consolidated liabilities, despite market capitulation in Q2 2022, which led to cascading failures across the industry. Emerging from this black swan event, Tether demonstrated its resiliency and continued commitment to transparency, dependability and commitment to removing commercial papers from reserves. Notably, the Company demonstrated the solidity of its business and of its management of the reserves which fully covered the issued token during the entire period of distressed markets (in particular the digital assets industry).
You can read the latest assurance opinion and the Consolidated Reserves Report here.
The Management of the Company asserts the following as of 30 June 2022:
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The Group’s consolidated total assets amount to at least US$ 66,409,619,424.
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The Group’s consolidated total liabilities amount to US$66,218,725,778, of which US$ 66, 204,234,509 relates to digital tokens issued.
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The Group’s consolidated assets exceed its consolidated liabilities.
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The total gross consolidated contractual redemption value related to all digital tokens issued, including those held by the Group is equal to US$ 66,430,393,253.
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The consolidated amount related to digital tokens held by the Group but not in its treasury wallet is equal to US$ 226,158,744.
The latest report also shows that the average rating of commercial paper and certificates of deposit has improved and continued to range from A-1 to A-2.
Paolo Ardoino, Tether CTO, said:
“We are fully committed to maintaining our role as the leading stablecoin in the market,” said Paolo Ardoino, CTO of Tether. “The utility of Tether continues to be supported by the transparency of its reserves and has been a leading source of stability allowing us to build a tool for the global economy. Our commitment to transparency and the community is a long-standing pillar in the underlying ethos of the company and aligns with our responsibility as a market leader. We have once again demonstrated that commitment by aligning with BDO, one of the world's top accounting firms. We look forward to continuing down this path and are dedicated to setting a market standard to which our competitors and future stablecoins can look to for guidance