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U.S. Authorities Commend Tether for Aiding in $1.6M Terror Financing Crackdown.

Tether was acknowledged by the DOJ for its assistance in a major enforcement action involving the seizure of approximately $225 million in USDT.

In a significant development highlighting the growing role of blockchain companies in combating financial crime, U.S. authorities have publicly acknowledged and commended Tether, the issuer of the world’s most widely used stablecoin USDT, for its cooperation in freezing $1.6 million in digital assets linked to terrorism financing.

The funds, according to U.S. officials, were tied to sanctioned individuals and entities suspected of using cryptocurrency to support terrorism-related activities in the Middle East. Tether worked closely with law enforcement agencies, including the U.S. Department of Justice and the Office of Foreign Assets Control (OFAC), to swiftly freeze the funds and assist in ongoing investigations.

A Landmark in Tether Cooperation

Tether’s collaboration with federal authorities marks a landmark moment in the evolving intersection of cryptocurrency and law enforcement. The company’s actions demonstrate how blockchain transparency, when combined with responsible corporate governance, can support global security initiatives.

Earlier this month, Brazilian authorities recognized their support in blocking R$32 million (approx. $6.2 million USD) in a major cross-border money laundering scheme involving a criminal organization operating through the popular crypto platform Klever Wallet. In June, the DOJ acknowledged it for its assistance in a major enforcement action involving the seizure of approximately $225 million in USDT.

Also, In March this year, Tether assisted the U.S. Secret Service in freezing $23 million in illicit funds tied to transactions on the Russian-sanctioned exchange Garantex. It helped freeze $9 million connected to the Bybit hack.

Additionally, they remain committed to ensuring their platform does not become a front for illicit purposes,the company stated in a press release.We work hand-in-hand with regulators, law enforcement, and global organizations to promote financial integrity across the digital asset ecosystem.”

U.S. officials echoed this sentiment, acknowledging that the company’s ability to respond quickly and effectively played a pivotal role in disrupting potential flows of illicit capital. 

In other news. Tether has bolstered its position in the crypto space, increasing its stake on Bitdeer and strengthening its Bitcoin mining ties.

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