Tether blacklists four addresses holding over $20m in USDT

USDT issuer Tether has blacklisted another group of addresses after it publicly committed to fight illicit use of stablecoins.

In an X post on Mar. 5, blockchain forensic firm PeckShield revealed that stablecoin issuer Tether has blacklisted another four addresses holding a total sum of $21.2 million worth of USDT. According to the post, the largest address contained $20 million worth of digital assets, while the remaining addresses held less than $500,000 each.

#PeckShieldAlert #Tether has blacklisted the following addresses:
0x44c9503188827034377353a9f6d876eea15933c9 (Balance: 20.01M $USDT)
0xc20dcb6c4fec2516e21cf52648177721e2744988 (Balance: 500K $USDT)
0xc0c9baf6bb9b932eef4a60267aa8c530af5cb62c
(Balance: 500K $USDT)… pic.twitter.com/B0FnthgBjt

— PeckShieldAlert (@PeckShieldAlert) March 5, 2024

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The specific reasons for the blacklisting remain undisclosed by Tether at the time of reporting, leaving uncertainty regarding whether the addresses were involved in fraudulent activities or violations of sanctions. This latest move follows Tether’s public vow to crack down on the illicit use of stablecoins. Thus far, Tether has blacklisted over 1,200 addresses holding nearly $1 billion worth of USDT, according to data from Dune Analytics.

In a December 2023 letter addressed to members of the U.S. House Financial Services Committee and the U.S. Senate Committee on Banking, Housing, and Urban Affairs, Tether also emphasized its focus on know-your-customer (KYC) procedures and regulatory compliance.

The USDT issuer disclosed that its KYC program underwent scrutiny by the IRS on behalf of FinCEN, a bureau of the U.S. Department of the Treasury. Additionally, Tether disclosed its collaboration with the U.S. Department of Justice, Secret Service, and FBI, resulting in the freezing of hundreds of wallets.

Read more: DoJ captures $9m in Tether’s USDT from “pig butchering” operation

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