Tether Achieves SOC 2 Compliance, Boosting Credibility in Stablecoin Market

Tether, the issuer of the world's largest stablecoin, has successfully completed a System and Organization Controls 2 (SOC) audit, marking a significant achievement in security compliance. This certification reinforces Tether's commitment to maintaining a robust and secure platform for its users, ensuring the safety of their assets and data.

Tether Achieves SOC 2 Compliance, Bolstering Credibility and Trust in Stablecoin Ecosystem

New York, April 6, 2023 - Tether, the issuer of the world's largest stablecoin, USDT, has achieved a significant milestone in its commitment to security and compliance. The company has successfully completed a System and Organization Controls 2 (SOC 2) audit, a rigorous examination that validates the effectiveness of its internal controls over security, availability, confidentiality, and processing integrity.

This certification, conducted by an independent, third-party auditor, is a testament to Tether's unwavering dedication to maintaining a secure and reliable platform for its users. It demonstrates the company's adherence to industry best practices and its commitment to transparency and accountability.

"The achievement of SOC 2 compliance underscores our unwavering commitment to safeguarding our customers' assets and data," said Paolo Ardoino, Tether's CEO. "This independent validation of our security controls is a testament to our unwavering determination to be the world's most trusted and compliant stablecoin."

In addition to achieving SOC 2 compliance, Tether has pledged to conduct annual SOC 2 audits to ensure the continuous verification and improvement of its security practices. The company also plans to secure the SOC 2 Type II certification by the end of 2025, a testament to its long-term dedication to maintaining rigorous internal controls over a 12-month evaluation period.

The SOC 2 compliance is particularly significant in light of the recent growth and adoption of Tether's stablecoin, USDT. As of March 4, 2023, USDT has surpassed a market capitalization of $100 billion, solidifying its position as the third-largest cryptocurrency behind only Bitcoin and Ethereum. This remarkable growth underscores Tether's profound impact on the cryptocurrency market.

To further enhance its position in the industry, Tether has embarked on a strategic expansion plan that includes a $500 million investment in Bitcoin mining operations in Uruguay, Paraguay, and El Salvador. This initiative aligns with Tether's vision of becoming a prominent player in the Bitcoin ecosystem.

In an interview with Bloomberg on November 16, 2023, Ardoino outlined Tether's ambitious goal of commanding 1% of the Bitcoin mining network. He also detailed plans to expand the company's mining capacity to 450 megawatts (MW) by 2025.

Tether's mining expansion strategy encompasses a 300 MW facility and innovative approaches to operational flexibility. This includes the use of relocatable containerized facilities to optimize operations based on fluctuating electricity prices.

Ardoino's cautious yet optimistic approach to mining expansion reflects Tether's broader strategy of methodical growth. "Mining is a complex and evolving industry, and we are approaching it with a measured and prudent approach," said Ardoino. "Our goal is not to become the largest miner in the world overnight; rather, we are focused on building a sustainable and profitable business over the long term."

Tether's commitment to security, compliance, and strategic growth positions it as a leader in the stablecoin and broader cryptocurrency ecosystem. The company's unwavering dedication to these principles instills confidence in users and stakeholders alike. As the digital asset market continues to mature, Tether is poised to remain at the forefront of innovation and responsible stewardship.