Tether confirms cooperation with U.S. government to freeze over $344 million worth of USDT

Odaily Odaily reports that Tether has announced supporting the U.S. government in freezing over $344 million in USDT, involving two wallet addresses. This freeze was carried out in collaboration with the U.S. Treasury Department's Office of Foreign Assets Control (OFAC) and U.S. law enforcement, with the aim of preventing further movement of funds.

The freeze was based on information provided by multiple U.S. law enforcement agencies, linking these addresses to illegal activities. Tether stated that it takes freezing measures when wallet addresses are associated with sanctions evasion, criminal networks, or other illegal activities. This has now become a standard response for Tether to legitimate requests from U.S. and global law enforcement agencies.

Tether adheres to a zero-tolerance policy and strongly opposes criminal activities conducted through its financial products, including USDT. It has long followed OFAC guidelines regarding the "Specially Designated Nationals" (SDN) list. The company works closely with over 340 law enforcement agencies worldwide to help identify and freeze assets linked to illegal activities or wrongdoers, preventing further transfers.

Tether has supported more than 2,300 cases globally, including over 1,200 cases related to U.S. law enforcement agencies. The total amount of frozen assets exceeds $4.4 billion, with $2.1 billion of that related to U.S. law enforcement agencies.

Tether CEO Paolo Ardoino stated: "USDT is by no means a safe haven for illegal activities. When there is a credible link to sanctioned entities or criminal networks, we act immediately. Recent events have shown what happens when platforms fail to act swiftly, law enforcement falls short, users are exposed, and trust is lost. Our approach is different; we combine blockchain transparency, real-time monitoring, and direct coordination with law enforcement to halt fund flows. This is the responsibility of being one of the largest issuers in the market, and we take it very seriously."

This action is part of Tether's cooperation with U.S. law enforcement. The U.S. Department of Justice has previously acknowledged Tether's support in enforcement actions, successfully seizing nearly $61 million and approximately $225 million in "pig butchering" scam funds. These cases demonstrate that as long as issuers and law enforcement work closely together, digital assets on public blockchains are not beyond reach.