Tether: A Prominent Tool for Money Launderers in Southeast Asia
A recent report from the United Nations Office on Drugs and Crime has revealed that Tether, one of the world’s largest stablecoins, is being used extensively by money launderers and fraudsters operating in Southeast Asia. This has raised concerns among law enforcement and financial intelligence authorities.
Tether’s Popularity Among Money Launderers
The report highlights the increasing use of Tether’s stablecoin USDT for illicit activities, including scams that manipulate victims through false romantic connections. Authorities have observed a surge in sophisticated money laundering teams specializing in utilizing Tether for underground transactions.
Online gambling platforms, particularly illegal ones, have become popular avenues for cryptocurrency-based money laundering, with Tether being a favored choice. The UN’s Office on Drugs and Crime states that organized crime has effectively created a parallel banking system using new technologies and unregulated online casinos.
Dismantling Tether-Linked Money Laundering Networks
Despite regulatory scrutiny and enforcement crackdowns, criminal groups continue to use Tether as their preferred method for moving funds. Authorities have made efforts to dismantle money laundering networks associated with Tether, including a successful operation by Singaporean authorities that recovered $737 million in cash and crypto.
Some casinos have even specialized in handling stablecoin transactions, highlighting the role of Tether in illicit financial activities.
Hot Take: Tether’s Rising Role in Money Laundering Across Southeast Asia
A recent report from the United Nations Office on Drugs and Crime has exposed Tether’s significant involvement in money laundering activities across Southeast Asia. The report highlights how Tether’s stablecoin USDT is being exploited by criminals for illicit transactions, particularly through online gambling platforms. Despite regulatory efforts to dismantle money laundering networks associated with Tether, criminal groups persist in using the stablecoin as their preferred method for moving funds. This raises concerns among law enforcement and financial intelligence authorities about the growing use of Tether in facilitating illegal activities. The situation calls for increased vigilance and action to combat money laundering and protect the integrity of the financial system.
By
By
By
By
By
By