Global Romance Scam Linked to $225 Million in USDT Frozen by Tether

Global Romance Scam Linked to $225 Million in USDT Frozen by Tether

Tether (USDT) Freezes $225 Million in Connection with Pig Butchering Scam

Tether (USDT), the world’s largest issuer of stablecoins, posted on Monday that it had frozen $225 Million worth of USDT tokens connected to a worldwide romance scam known as the “pig butchering” scheme.

The Largest Freeze in Tether’s History

This action marked the largest freeze in Tether’s history and was applied to “external self-custodied wallets.”

Collaboration with OKX and the United States Department of Justice

Following a joint investigation with cryptocurrency exchange OKX and the United States Department of Justice, Tether (USDT) utilized tools provided by blockchain analysis firm Chainalysis to identify and freeze the illicitly obtained funds.

El Salvador’s President Nayib Bukele Resigns Prior to Re-election Campaign

Compliance with Law Enforcement Request

After receiving alerts about the movement of illicit funds on-chain, the United States Secret Service requested the freeze, to which Tether (USDT) “voluntarily” and “proactively” complied.

Addressing Illicit Activities

Tether (USDT) CEO Paolo Ardoino emphasized the company’s commitment to leveraging technology and relationships to proactively address illicit activities and maintain industry integrity.

Previous Frozen Funds and Market Cap

Tether (USDT) had previously frozen funds linked to terrorism, a phishing scam, and an exploit. The company is facing political pressure to improve its anti-money laundering measures amidst its soaring market cap, which has now reached over $87 billion.

Crypto Companies Flock to UAE’s Regulatory Framework as Canaan’s Earnings Decline and Other Updates

Hot Take: Tether’s Ongoing Battle Against Financial Crime

Tether’s proactive steps to freeze illicitly obtained funds demonstrate the company’s commitment to upholding industry standards. As Tether’s market cap continues  to soar, the pressure to address flaws in its anti-money laundering measures grows, reflecting the need for stringent regulatory compliance within the cryptocurrency market.

Author – Contributor at | Website

Owen Patter is a distinguished crypto analyst, accomplished researcher, and skilled editor, leaving a notable imprint on the cryptocurrency landscape. As a proficient crypto analyst and researcher, Owen delves into the intricate realms of digital assets, offering insights that resonate with a diverse audience. His analytical acuity is harmoniously paired with adept editorial skills, allowing him to transform complex crypto information into easily comprehensible content.

Grayscale Appoints Former Invesco Executive to Drive Bitcoin ETF Advancement
Read Disclaimer
This page is simply meant to provide information. It does not constitute a direct offer to purchase or sell, a solicitation of an offer to buy or sell, or a suggestion or endorsement of any goods, services, or businesses. does not offer accounting, tax, or legal advice. When using or relying on any of the products, services, or content described in this article, neither the firm nor the author is liable, directly or indirectly, for any harm or loss that may result. Read more at Important Disclaimers and at Risk Disclaimers.

Subscribe to our Social Media for Exclusive Crypto News and Insights 24/7!

Email me the hottest Crypto news!

Latest Crypto News

Share via
Share via