Tron and Tether’s Crime Unit Freezes $100 Million USDT Linked to Money Laundering
Tron’s T3 financial crime unit, a partnership between Tron, Tether, and TRM Labs, has frozen $100 million in Tether USDT since its inception in September.
The department’s focus is on identifying and disrupting illegal activities involved in Stablecoin.
Cryptocurrency money laundering remains a serious challenge
T3’s work includes analyzing millions of transactions across five continents. According to a recent statementthe department monitored more than $3 billion in USDT transactions.
TRM Labs provides blockchain intelligence tools to help identify and freeze funds related to criminal activity on the Tron blockchain.
The USDT circulating on Tron is worth $60 billion, making it the second largest stablecoin network after Ethereum. The most common source of frozen funds comes from “Money laundering as a service”, criminals use darknet services to launder illegal proceeds.
Meanwhile, other goals include investing in Scamdrug trafficking, terrorist financing, extortion, hacking incidents and violent crime.
T3 also discovered $3 million in USDT, linked to North Korean actors. The funds were allegedly used to support the regime’s fundraising efforts through cryptocurrency.
Financial crime and cryptocurrency regulation take center stage
Prevent money laundering remains a core concern for regulators and the crypto industry. This focus intensified in 2024 and is expected to remain a top priority in 2025.
Early 2024, Binance faces $4.4 million fine in Canada Violation of Anti-Money Laundering (AML) regulations. Despite repeated warnings, the exchange failed to comply with national anti-money laundering laws.
Additionally, Binance and its former CEO Changpeng Zhao (CZ) are defendants in a lawsuit. Class action lawsuit filed in Seattle. The lawsuit alleges that lapses in the exchange’s anti-money laundering measures facilitated cryptocurrency money laundering, leaving three investors unable to recover their stolen assets.
In another high-profile case, Tornado Cash developer Alexey Pertsev received Dutch court sentences 64 months in prison. Pertsev was found guilty of laundering $1.2 billion. Cryptocurrency Mixing Platform.
At the same time, the U.S. Court of Appeals Overturned Treasury sanctions on Tornado Cash. The decision reignites discussions about regulating blockchain tools while balancing privacy concerns and crime prevention.
Additionally, USDT issuer Tether was criticized for similar money-laundering acquisitions in 2024. October, one The Wall Street Journal reported that Third parties may use Tether to facilitate activities such as drug trafficking, terrorist financing, and hacking.
However, Tether CEO Paolo Ardoino refuted these claims. He denied any ongoing cryptocurrency laundering investigation into the company.
The efforts led by the Tron T3 unit reflect the growing need for accountability and oversight within the crypto industry. Global regulators and industry stakeholders will continue to work to curb financial crime.
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