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Attestation vs audit

Reserves & backing

An attestation is an accountant's point-in-time confirmation of reserve balances. A full audit is a broader opinion on financial statements. Most stablecoins publish the former.

An attestation says: on this date, these accounts held these balances. It does not opine on internal controls, related-party lending, or what happened the day before and after.

Cadence and independence matter more than the label. Monthly attestations by a large independent firm, with holdings broken down by instrument and maturity, are meaningfully stronger than an annual PDF from an unknown counterparty.

On-chain proof-of-reserve feeds are useful for crypto collateral but say nothing about off-chain fiat assets.

Why it matters

Frequency and independence of verification is one of the largest inputs to the USD.NET safety score.

How to read it

  • Monthly or better, by an independent firm, with instrument-level detail: strong.
  • Quarterly, aggregate-only: adequate.
  • Irregular or self-published: treat with caution.

See it in action

Related terms

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