Tether Protests UN Accusations of USDT Being Used in Crime, Argues Blockchains Are Impractical for Illicit Use

Tether is pushing again in opposition to current accusations from a United Nations company that its stablecoin, USDT, is used extensively for cash laundering and fraud in Asia.

In a brand new report, the United Nations Workplace on Medication and Crime (UNODC) claims criminals in East and Southeast Asia choose to make use of USDT on the Tron (TRON) blockchain as a consequence of its stability, ease, anonymity and low transaction charges.

The UNODC says fraudsters and cash launderers are likely to funnel the USDT, the most important stablecoin by market cap, via on-line playing platforms which can be usually working illegally.

As proof of this, the UN report cites a number of examples, together with Tether’s transfer in November to freeze $225 million price of USDT in sure Southeast Asian wallets after an investigation led by the U.S. Division of Justice (DOJ) alleged the addresses had been related to “pig-butchering” romance scams.

Tether, nonetheless, argues that its collaboration with regulation enforcement is proof of the other.

“The monitoring of Tether tokens via our collaboration with international regulation enforcement together with the DOJ, FBI, and USSS (which was not too long ago onboarded on the Tether platform) ensures unparalleled monitoring, surpassing conventional banking programs that for many years have been the vessel for laundering substantial sums confirmed by the fines which were levied on them. Tether tokens, utilizing public blockchains, make it potential to meticulously observe each transaction, making it an impractical selection for illicit actions.”