Key Takeaways :
- Tether collaborates with Israel’s National Bureau for Counter Terror Financing to combat cryptocurrency-funded terrorism and warfare.
- Tether froze 32 addresses holding $873,118.34 linked to illicit activities in Israel and Ukraine.
Tether, the issuer of the world’s largest stablecoin, has frozen 32 virtual wallets tied to cryptocurrency funding for terrorism in Israel and Ukraine, amounting to $873,118.34. This move follows Tether’s cooperation with Israel’s National Bureau for Counter Terror Financing, underlining the company’s commitment to responsible cryptocurrency use.
Paolo Ardoino, Tether’s CEO, emphasized the traceability of cryptocurrency transactions on blockchain platforms, allowing Tether to block USDT usage in connection with terrorist funding. He noted, “Contrary to popular belief, cryptocurrency transactions are not anonymous; they are the most traceable and trackable assets.”
The CEO further stated, Every transaction is meticulously recorded on the blockchain, allowing for the monitoring of fund movements. Consequently, criminals who choose to use cryptocurrencies for illicit purposes are bound to be identified.
Tether is actively working with global law enforcement agencies to monitor and trace funds related to criminal and terrorist activities. Critics have raised concerns about cryptocurrency’s potential misuse for funding malicious operations, despite government-imposed financial sanctions, exemplified by recent events, like Hamas’s cryptocurrency accumulation for attacks on Israel.
Recent events, such as the Palestine Hamas group’s attack on Israel, have intensified these concerns. Reports revealed that Hamas had amassed millions in cryptocurrency to support its unexpected assault on its neighbouring country.
To address these issues, Israeli law enforcement took significant steps by freezing cryptocurrency accounts linked to the Palestinian militant group, Hamas, with assistance from the popular crypto exchange, Binance.
Tether stated that it has assisted 31 agencies worldwide in investigations spanning 19 jurisdictions, resulting in the freezing of approximately $835 million in assets, primarily connected to theft, including blockchain and exchange hacks.
Tether has a history of freezing substantial amounts of USDT linked to malicious entities. In August, the company announced the freezing of $20 million associated with a phishing scam. In 2021, Tether also took action to freeze $1.7 million that was stolen in an exploit of Yearn Finance’s protocol.
