It has to be legal to have an incorrect odometer reading otherwise, unless the odometers are easily changed to display arbitrary readings, entire cars are scrapped as soon as they need replacements.
When you sell that vehicle only stating "odometer reads 110,000" you are inducing the buyer into error (lying by omission, and you are in bad faith as you have the documents that reveal the real mileage).
For those rare cases where there is no such documentation there is usually the formula "mileage unknown" or similar, but usually it draws the price down to the minimum.
I honestly didn't even think about that. Thanks for broadening my vision. I legit was only thinking about the downside of it.