Tether and Tron launch a new financial crime unit, freezing over $12 million in illicit USDT transactions and enhancing crypto industry security through collaboration.
Tether, a major stablecoin issuer, has partnered with the Tron network and blockchain intelligence firm TRM Labs to establish a dedicated financial crime unit aimed at identifying and freezing unlawful USDT transactions. Tron, the largest network supporting USDT, will leverage its technical expertise to enhance security within this new initiative.
The newly formed unit, named the T3 Financial Crime Unit (T3 FCU), was created to strengthen cooperation between public and private sectors in combating illegal activities linked to USDT transactions on the Tron blockchain. The announcement was made on September 10, highlighting the joint efforts of the three entities.
TRM Labs will provide its advanced anti-financial crime technology, while Tron will contribute its blockchain expertise. Tether’s role will be supported by its external investigations team, all working towards a common goal of making the cryptocurrency ecosystem safer.
T3 FCU Takes Action, Freezing Over $12 Million in Illicit USDT
Since its recent launch, T3 FCU has already made significant strides, freezing more than $12 million worth of USDT linked to illegal activities, including blackmail, fraud, and cybercrime. This was achieved through close collaboration with law enforcement agencies, reinforcing the unit’s commitment to protecting the integrity of the crypto space.
Tron’s Key Role in Supporting USDT Growth
Given its status as the largest blockchain network for USDT, Tron’s involvement in the T3 FCU is a logical step. As of September 10, 2024, the circulating supply of Tron-based USDT reached $60.8 billion, representing 51% of all USDT in circulation. Tron’s founder has expressed confidence that this collaboration will send a strong message against illegal activity in the crypto industry.
USDC Withdraws Tron Support Amid Growing Scrutiny
Earlier this year, USDC, a leading stablecoin competitor, withdrew support for the Tron network. This decision came after the United Nations’ Office for Drugs and Crime highlighted concerns over the use of Tron-based USDT for money laundering in Southeast Asia and the Pacific. Tether responded by emphasizing its history of cooperation with global law enforcement and continued its support for Tron-based USDT.
Since February 2024, over $10 billion in additional Tron-based USDT has been minted, further solidifying Tron’s dominance in the stablecoin market.
