Joint Freeze of USDT Tokens
Tether (USDT) and Okx recently collaborated with the United States Department of Justice and froze $225 Million in USDT tokens following a joint investigation. The joint investigation used analytics tools from blockchain analysis firm Chainalysis. The action by Tether (USDT) represents the largest-ever freeze of USDT in history. After months of investigation, Tether (USDT), Okx, and law enforcement agencies identified the locations of the illicit funds. According to an analysis by Lookonchain, Tether (USDT) froze 37 wallets linked to a human trafficking group on Monday.
Frozen Wallets on the Secondary Market
Tether (USDT) argued that the frozen wallets are on the secondary market and are not associated with Tether’s (USDT) customers. To the extent lawful wallets were captured by this operation, Tether (USDT) will work quickly with law enforcement and the owners of those wallets to unfreeze them. In October, Tether (USDT) froze 32 addresses linked to suspicious operations in Israel and Ukraine.
Rise of Cryptocurrency Scams
Pig butchering cryptocurrency scams have been on the rise universally. In April in the year, the United States Department of Justice confiscated digital currency worth $112 Million in a pig butchering scam crackdown. Past week, the Internal Revenue Service (IRS) warned that United States taxpayers are as of now the most targeted population for pig butchering schemes.
Hot Take: The Impact of the USDT Freeze
Tether (USDT) and Okx are taking a proactive stance in the fight against illicit activities and scams. Their collaboration with the United States Department of Justice led to the freezing of $225 Million in USDT tokens, representing a whole lot of effort to curb human trafficking and cryptocurrency scams. The growing number of these illicit activities outlines the importance of such preventative measures in strengthening the overall security and integrity of the digital currency ecosystem.
Benito Cormi, the brilliant crypto analyst who has made waves in the world of cryptocurrency. With his razor-sharp analytical skills and deep understanding of the digital asset landscape, Benito has become a trusted figure in the industry and remains at the forefront, tirelessly researching and analyzing market trends to help individuals and businesses make informed decisions in this dynamic landscape.
