Summary
Tether’s USDT stablecoin is being used for money laundering and scams in Southeast Asia, according to a report by the United Nations. The report highlights the use of USDT in online gambling platforms and underground fraud schemes. Tether previously assisted the US Department of Justice in freezing $225 million in USDT linked to a human trafficking group involved in a scam. The report also mentions that law enforcement agencies have disrupted several money laundering networks involving illicit Tether funds. Tether responded to the report, stating that it is disappointed in the UN’s assessment and emphasized USDT’s role in helping developing economies. Tether CEO Paolo Ardoino has previously mentioned that the company has onboarded the US Secret Service and the Federal Bureau of Investigation onto its platform.
Key Points
1. Tether’s USDT stablecoin has been identified by the United Nations as a prominent payment method for money laundering and scams in Southeast Asia.
2. The UN report also highlights the use of Tether in underground fraud, including romantic scams known as “pig butchering.”
3. Law enforcement agencies have disrupted multiple money laundering networks involving illicit Tether funds, with one operation resulting in the recovery of around $735 million in cash and cryptocurrency.
(Note: There was no specific information available to provide a space between each point.)