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TRON DAO partners with Tether to freeze $12M USDT in anti-crime push

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TRON DAO partners with Tether to freeze $12M USDT in anti-crime push

  cryptoslate.com 9 h

TRON DAO partners with Tether to freeze $12M USDT in anti-crime push

TRON DAO, the decentralized organization behind the TRON blockchain, announced that the newly formed T3 Financial Crime Unit (T3 FCU) task force has already frozen over $12 million in USDT linked to illicit activities.

In a Sept. 16 post on X, TRON DAO stated:

“While others didn’t act, the T3 Financial Crime Unit, in collaboration with law enforcement, had already frozen over $12 million in USDT on TRON tied to illicit activities.”

While no further details were provided, the organization emphasized that this proactive action strengthens trust and advances the crypto industry by ensuring better security.

Last week, TRON DAO launched a task force in partnership with TRM Labs and stablecoin issuer Tether to combat financial crime involving USDT, the largest stablecoin, on the blockchain. Data from Tether reveals that nearly half of its $118 billion USDT supply is hosted on the TRON blockchain, with about 39% on Ethereum.

Circle faces scrutiny

This development comes as Circle faced criticism for its delayed action in blacklisting a wallet linked to the North Korea-backed Lazarus Group.

On Sept. 14, blockchain investigator ZachXBT accused Circle of prioritizing profit over the health of the crypto ecosystem. He pointed out that Circle took over four months longer than other major stablecoin issuers to blacklist funds tied to the Lazarus Group.

He further stated that the company allowed money laundering through its platform while portraying itself as a compliant ecosystem protector.

ZachXBT said:

“Not once has [Circle] ever blacklisted after a DeFi exploit / hack when there was ample time while [they] continue to profit off the transactions.”

Circle’s USDC is the second-largest stablecoin in the industry, with a market capitalization of around $35 billion, according to CryptoSlate’s data.

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