The role of stablecoins, notably Tether (USDT), is crucial in the crypto ecosystem. However, cryptocurrencies, as innovative technologies, are not immune to malicious use. Recently, Tether has been embroiled in controversy regarding questionable activities in Israel and Ukraine. Let’s take a closer look at this situation.
An unexpected account freeze
Last Monday, an announcement from Tether shook the crypto community. The stablecoin issuer has frozen 32 addresses suspected of being involved in activities related to war, terrorism and crime.
These accounts, totaling a sum of $873,118, reportedly linked to suspicious operations in Israel and Ukraine.
In this context, USDT joins forces with Israel’s NBCTF. This cooperation is strategic. The objective? Block malicious uses of crypto.
The world is watching the tensions in Ukraine and the conflicts in Israel. Confronted with this, Tether acts proactively.
Beyond simply freezing accounts, the company works with an impressive network of 31 government agencies across 19 global jurisdictions.
With an impressive total of $835 million in frozen assets to date, USDT crypto demonstrates the power of blockchain technology to improve the security of the global financial system.
Crypto traceability for security
Faced with criticism questioning the effectiveness of cryptocurrencies in the fight against the financing of terrorism, Tether is vigorously defending itself.
According to them, the traceability inherent in crypto transactions constitutes a major asset in countering illegal activities.
Paolo Ardoino, CEO of Tether, emphasizes that contrary to popular belief, crypto transactions are not anonymous.
As each transaction is recorded on the blockchain, it is traceable, providing a powerful tool for identifying malicious activity.
The Tether saga in this affair highlights the two sides of cryptocurrencies. While they present unique benefits for fund transfers and financial innovation, they can also be used for less honorable purposes.
However, thanks to unprecedented traceability and close collaboration with regulatory authorities, the crypto universe, led by leaders such as Tether, is demonstrating its ability to anticipate and overcome future obstacles. Also discover the false information that shook the market.
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