The company behind the world’s largest stablecoin by market cap says it aided US authorities in confiscating the proceeds of an overseas crypto-confidence scheme.
Perpetrators of crypto-confidence schemes approach their victims through dating apps, text messages or professional meetups or investment groups to gain their trust and lure them into depositing funds into crypto websites that promise bogus returns.
On Thursday, the U.S. Department of Justice (DOJ) announced the seizure of assets linked to a crypto-confidence scheme in Southeast Asia that targeted one or more individuals in the US.
The DOJ says the FBI was able to trace the funds and identified several crypto wallets that still hold over $6 million worth of the victims’ assets.
In a statement, Tether says it froze the assets which enabled the authorities to swiftly recover the illegally obtained funds.
“Tether, the largest company in the digital asset industry, announced today that it assisted the U.S. Department of Justice (DOJ) in successfully seizing over $6 million in assets linked to a crypto-confidence scheme based in Southeast Asia.”
The stablecoin issuer says that in the past 12 months alone, it has helped US authorities seize millions of dollars worth of crypto assets linked to fraudulent schemes, including nearly $14 million in USDT from pig butchering operations and $1.4 million in USDT from a tech support scam network.
Tether CEO Paolo Ardoino says the company is committed to helping law enforcement agencies worldwide in stopping the misuse of crypto.
“We stand ready to collaborate with government agencies and deliver all necessary tools to ensure that global bad actors are brought to justice and that ultimately, the victims are supported.”
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