Tether has frozen more than $344 million in USDT stablecoins across two Tron blockchain addresses. This action was taken in coordination with U.S. authorities and law enforcement agencies, including the Office of Foreign Assets Control.
One of the frozen wallets contained approximately $213 million, while the other held roughly $131 million in USDT. The stablecoin issuer stated that the funds were flagged for potential links to sanctions evasion, criminal networks, or other illicit activities.
Tether CEO Paolo Ardoino emphasized the company's commitment to combating illicit finance, stating, "USDT is not a safe haven for illicit activity. When credible links to sanctioned entities or criminal networks are identified, we act immediately and decisively."
This freeze is part of Tether's expanding compliance efforts, which include partnerships with over 340 law enforcement agencies globally. The company reports supporting over 2,300 cases and freezing more than $4.4 billion in assets to date.
This incident follows previous large-scale freezes by Tether, including approximately $225 million in November 2023 linked to a human-trafficking scam and $182 million in January 2024. These actions highlight the increasing use of stablecoins in illicit finance and Tether's proactive stance on regulatory compliance.