Tether's New Accounting Firm Is the Old One, With Baggage

Moore Cayman is now operating under the MHA Cayman name, but the firm's parent is under investigation in the U.K.

Jan 26, 2022 at 4:37 p.m. UTC
Updated Jan 26, 2022 at 4:56 p.m. UTC

Helene is a U.S. markets reporter at CoinDesk, covering US economics, the Fed, and bitcoin. She is a recent graduate of New York University's business and economic reporting program.

Meet Tether’s new accounting firm, same as Tether’s old accounting firm.

U.K.-based mid-tier firm MHA MacIntyre Hudson, announced Jan. 14 its Cayman Islands office, MHA Cayman, now handles the clients of the Cayman-based Moore Cayman firm, Tether's accountant.

As far as Tether's relationship with its accountant is concerned, the change should be insignificant "other than they're going to see a letter with a different letterhead ... unless for some reason they are going to do something different or provide more services," Francine McKenna, founder and editor of The Dig newsletter, said.

“Both [accounting] practices have grown quickly in parallel since 2016 with identical people, services, management and ownership; hence the transition is seamless from both practices’ perspective,” according to MHA MacIntyre Hudson’s press release.

However, the release does not mention MHA MacIntyre Hudson is dealing with some baggage.

MHA MacIntyre Hudson is currently under investigation by the U.K. Financial Reporting Council, the accounting regulator, according to a report published Jan. 7 in the Financial Times.

FRC is looking at MHA's audits of the financial statements of MRG Finance UK for 2018 and 2019, ahead of a planned shakeup of the nation's audit market, according to the FT. MHA is a subsidiary of Baker Tilly International, the 11th-largest auditor of London-listed companies by market value, according to the FT, quoting Adviser Rankings.

Neither Tether nor the parent company of Moore Cayman have responded to a request for comment from CoinDesk.

In July, Tether General Counsel Stuart Hoegner said on CNBC the reason Tether chose to work with Moore Cayman is that it offers a "highly trusted and authoritative view on the accounting field and our attestations.”

Tether, with $78 billion in assets, issues the most popular stablecoin by market cap, USDT. It had promised to produce an audit as early as 2017, but has so far only released an attestation. Audits provide a full look at a company’s financials over a period of time while attestations are snapshots of a company’s balance sheet on a specific date.

Tether had been with Moore Cayman since last February, its fourth third-party confirmation of reserves, after the company dissolved its relationship with New York-based accountant Friedman LLP.

The Festival for the Decentralized World
Thursday - Sunday, June 9-12, 2022
Austin, Texas
Save a Seat Now

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Helene is a U.S. markets reporter at CoinDesk, covering US economics, the Fed, and bitcoin. She is a recent graduate of New York University's business and economic reporting program.

CoinDesk - Unknown

Helene is a U.S. markets reporter at CoinDesk, covering US economics, the Fed, and bitcoin. She is a recent graduate of New York University's business and economic reporting program.

Trending

1
CoinDesk - Unknown
Portuguese Congress Rejects Two Bills Seeking to Tax Crypto

The proposals were submitted by two leftist parties. The government, which also seeks to apply taxes, hasn’t submitted a proposal so far.

The proposals were submitted by two leftist parties. The government, which also seeks to apply taxes, hasn’t submitted a proposal so far.

CoinDesk - Unknown
2
CoinDesk - Unknown
First Mover Asia: Regulatory Attention on Terra Could Change South Korean Trading Environment; Bitcoin Goes Sideways

The founders of two prominent crypto-related organizations said tightened restrictions could make it difficult for foreign tokens to list on Korean exchanges, discouraging projects from trying.

The founders of two prominent crypto-related organizations said tightened restrictions could make it difficult for foreign tokens to list on Korean exchanges, discouraging projects from trying.

CoinDesk - Unknown
3
CoinDesk - Unknown
A16z Doubles Down on Crypto Investments Despite Market Downturn, and NFL Launches Play-to-Earn NFT Game

The most valuable crypto stories for Wednesday, May 25, 2022.

The most valuable crypto stories for Wednesday, May 25, 2022.

CoinDesk - Unknown
4
CoinDesk - Unknown
OCC: ‘No Contagion’ Post-Terra Collapse

A surprisingly measured set of comments from Acting Comptroller Michael Hsu.

A surprisingly measured set of comments from Acting Comptroller Michael Hsu.

CoinDesk - Unknown