Tether Strengthens Collaboration with U.S. Authorities

Tether, the creator of the widely used USDT stablecoin, has made public its collaboration with key U.S. law enforcement agencies. The company disclosed letters sent to crucial U.S. legislative committees, revealing partnerships with the Secret Service and FBI.

Under the leadership of the newly appointed CEO, Paolo Ardoino, the stablecoin company has taken proactive measures to combat the misuse of its stablecoins in illegal activities. One notable initiative includes the implementation of a wallet-freezing policy, specifically targeting individuals on the U.S. Specially Designated Nationals list. Over 200 wallets have already been frozen as part of these measures.

The letters addressed to the U.S. House Financial Services Committee and the U.S. Senate Committee on Banking, Housing, and Urban Affairs, underscore Tether’s unwavering commitment to preserving safety and its active collaborations with legal authorities. Senator Cynthia Lummis, a prominent cryptocurrency supporter in the Senate, has been included in the distribution of these letters, emphasizing Tether’s transparency.

Tether’s Actions Against Misuse

Tether’s CEO elaborated on the methods employed to prevent the exploitation of USDT. The company claims to have successfully frozen 326 wallets, controlling a total of 435 million USDT, in collaboration with law enforcement agencies. Notably, this includes the freezing of wallets under sanctions from the U.S. Office of Foreign Asset Controls (OFAC). According to blockchain statistics, Tether froze 161 Ethereum wallets, although 150 of them currently contain no USDT.

Ardoino stated that Tether has onboarded agencies such as the Department of Justice and the U.S. Secret Service, with plans to do the same with the Federal Bureau of Investigation (FBI). This strategic move is in response to allegations made in an October 26 letter by Senator Cynthia M. Lummis and Congressman J. French Hill, accusing Binance and Tether of aiding crypto-funded terrorism by violating sanctions laws and the Bank Secrecy Act.

In a statement, Ardoino emphasized the firm’s commitment to supporting law enforcement efforts and aiding victims in their recovery. The company firmly condemns the misuse of USDT or any cryptocurrency for illicit purposes and is fully dedicated to collaborating with global law enforcement agencies.