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Sunday, July 14, 2024

Tether Completes SOC 2 Type 1 Security Audit: Details

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Tether, the largest stablecoin issuing company, has completed a major security audit that proves its compliance and reliability.

According to an official release, the firm has undergone the System Organization Control (SOC) 2 Audit Type 1, its first phase in attaining the highest level of security compliance.

Tether Undergoes Security Audit

The American Institute of Certified Public Accountants (AICPA) tagged a SOC 2 examination as a report on controls that pertain to a firm’s security, availability, processing integrity, confidentiality, or privacy. Such reports aim to address users who need detailed information and assurance about a service organization’s controls.

Tether said the SOC 2 Type 1 audit is a gold standard in security compliance at the AICPA, and completing the examination highlights its commitment to delivering secure operations.

Through the audit, the AICPA ensured that Tether has robust IT control measures to enhance the safety of its systems, the business can be accessed when needed, and sensitive information is disclosed only to authorized individuals through encrypted transmissions. In addition, the audit inspected Tether’s firewalls, problem resolution speed, customer authentication, intrusion detection, and network reliability.

“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,” said Tether’s CEO Paolo Ardoino.

Maintaining High Standards

Tether says it is committed to undergoing the SOC 2 examinations annually and looks forward to bagging the SOC 2 Type 2 Certificate by 2025. The audit assesses the operating effectiveness of its internal controls over 12 months. These efforts are geared toward ensuring the company’s security practices are always up to the highest standards.

“Tether constantly updates its security strategy, focusing on leading with innovative technology, transparency, and accountability to its stablecoin users. Its commitment to completing the SOC 2 Type 1 audit reaffirms its dedication to ensuring strong security measures for token holders. This proactive step aligns with Tether’s commitment to transparency, building trust within the user community, and engaging constructively with regulatory authorities,” Tether stated.

Meanwhile, Tether recently topped its crypto portfolio by purchasing 8,889 BTC worth $627 million. At the time of writing, the company’s Bitcoin reserves were worth $5.26 billion.

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