If you follow the world of cryptocurrencies, you must have come across the hashtag #TetherAudit But what does this mean in practice and why does everyone demand this so-called audit?
Tether (USDT) is the largest stablecoin in the market. In theory, for every 1 digital USDT, the company should have 1 dollar stored in the bank. The problem is that, for years, many people doubted whether this money really existed or if Tether was just "printing" coins out of nowhere.
Why is the audit the "Holy Grail"?
To this day, Tether only presents attestations. It seems the same, but it is not:
Attestation: It is like a snapshot of the balance on a specific day.
Complete Audit: It is a deep and retrospective x-ray, done by a large independent firm, that validates each transaction and the real health of the reserves.
The community asks for #TetherAudit because if Tether were to collapse due to lack of backing, the entire crypto market could melt down. A definitive audit would bring the necessary peace for institutional investors and end the fear of manipulation.
In summary: the movement is a cry for transparency. Fewer promises, more audited evidence.
$USDT