Tether has announced the successful completion of a System and Organization Controls 2 (SOC) audit — the highest level of security compliance that an organization can demonstrate. The audit was developed by the American Institute of Certified Accountants (AICPA).
The audit underscored Tether’s commitment to offering a secure user experience, according to Paolo Ardoino, the CEO of Tether, who wrote in an April 1 announcement:
“This compliance measure assures our customers that their assets and data are managed in an environment meeting the highest standards for data protection and information security. This independent validation of security controls is vital for Tether, demonstrating our commitment to being the world’s most trusted and compliant stablecoin.”
Tether has committed to undergoing annual SOC 2 audits to ensure its security practices remain consistent with the standards.
The firm aims to achieve the SOC 2 Type II certification by the end of 2025, which assesses the effectiveness of Tether’s internal controls over a period of 12 months.
Related: Tether boosts Bitcoin reserves with latest acquisition
Tether issues the largest stablecoin, Tether (USDT), which has a current market capitalization of over $104 billion, according to CoinMarketCap data.
Tether’s USDT reached a record $100 billion market cap on March 4, posting 9% year-to-date growth.
This makes Tether the third-largest cryptocurrency by market capitalization behind Ether (ETH) and Bitcoin (BTC). Its closest competitor, Circle’s USD Coin (USDC), is the seventh-largest crypto, with a $32.5 billion market cap.
Related: Tether launches recovery tool to migrate USDT between blockchains
Tether aims to overtake 1% of BTC mining in 2024
Tether is also expanding into new venues beyond stablecoins. The firm is planning to spend around $500 million on the construction of Bitcoin mining facilities in Uruguay, Paraguay and El Salvador.
The firm aims to grow its computing power to 1% of the Bitcoin mining network, Tether’s Ardoino told Bloomberg in an interview on Nov. 16, 2023.
The new sites would have a capacity of between 40 and 70 megawatts (MW) and include the $610 million debt financing facility extended to German miner Northern Data Group.
Tether also aims to amp up its direct mining operations to 450 MW by the end of 2025. The firm is also considering a 300 MW facility and is setting up its facilities inside containers that can be moved when electricity prices change, Ardoino said in the interview:
“Mining for us is something that we have to learn and grow over time. We are not in a rush to become the biggest miner in the world.”
Related: Tether expands AI operations with global recruitment drive for top-tier talent
