Stablecoin attestation reports verify asset backing for tokens, enhancing transparency and trust
From Cointelegraph
June 26, 2025 07:42:00 AM:
Stablecoin attestation reports verify tokens are backed by real-world assets like cash and US Treasurys, providing transparency and building trust. Not all tokens are redeemable, and attestations are not audits, but they play a critical role in the digital asset ecosystem. USDC leads with regular attestations and compliance with regulations.
Attestation reports are formal documents by independent CPAs verifying stablecoin reserves match circulating supply. They offer a snapshot of reserves at a specific point in time, enhancing trust. Transparency through attestations is crucial for stablecoin safety and market integrity, attracting traditional financial institutions and aligning with regulatory goals.
Independent accounting firms like Deloitte conduct stablecoin attestations, removing conflicts of interest and ensuring credibility. The AICPA’s 2025 Criteria standardizes reporting for asset-backed tokens, focusing on transparency, comparability, and reliability. These reports help assess stablecoin solvency and trustworthiness, becoming an industry benchmark.
Reading a stablecoin attestation report involves checking dates, comparing reserves to circulation, reviewing assets and custodians, understanding methodologies, and verifying the attesting firm. Supplementary notes provide additional insights. The reports offer confidence that stablecoins like USDC are backed by high-quality assets.
The February 2025 USDC attestation report, examined by Deloitte, confirmed that Circle’s reserves exceeded the USDC in circulation on specific dates. Reserves are mainly held in cash and US Treasurys, managed through a regulated fund. Excluded tokens ensure an accurate measure of circulating USDC, increasing confidence in the stablecoin.
Stablecoin reserves are verified through independent accounting firms, reviewing financial records, confirming custodial balances, cross-checking reserves, and comparing onchain supply. These reports ensure reserves are sufficient, liquid, and accessible, bridging traditional finance with blockchain for trust and transparency.
Read more at Cointelegraph: How to Understand a Stablecoin Attestation Report (Step-by-Step Guide)