Tether has been working with authorities and governments to seize cryptocurrencies, and has stated that it is willing to help.
Stablecoin Tether/ChatGPT
Tether confirmed last week that it participated in the blocking of US$6 million requested by the US government. Apparently, scammers were using USDT to carry out transactions after internet crimes.
The money seized belonged to people from countries outside the United States who had committed crimes against Americans. In other words, the suspects from Southeast Asia were allegedly committing phishing attacks, fake relationships, and more.
According to the FBI in the US, there was an investigation to determine the fate of the criminals' cryptocurrencies. As soon as the amounts were found in cryptocurrency wallets, Tether was able to block them at the request of the authorities, in order to recover the amounts.
Tether Locks Cryptocurrencies in Crypto Wallets to Help US Government
In a statement to the public, Tether confirmed that it acted quickly to freeze the amounts requested by the US government on its network. The company also stated that in the last 12 months it has acted in other operations, blocking more than 9 million dollars associated with internet crimes.
“Tether is steadfast in its commitment to assisting law enforcement agencies around the world in preventing the misuse of cryptocurrency,” said Paolo Ardoino, CEO of Tether. “We stand ready to collaborate with government agencies and provide all necessary tools to ensure that global bad actors are brought to justice and that, ultimately, victims are supported.”
“In these scams, fraudsters deceive U.S. citizens into believing they are transferring funds to cryptocurrency investment opportunities when in fact they are simply unwittingly handing over their money to the fraudsters,” said U.S. Attorney Graves. “The fact that these fraudsters and their accounts are typically located outside of the United States will not stop us or our FBI partners from doing everything we can to recover the proceeds of these scams and hold accountable the individuals who run them.”
“Scams and investment schemes are not new, but committing fraud with digital currency presents new challenges for law enforcement agencies trying to recover lost funds,” said Special Agent in Charge Carrico. “The FBI, along with our law enforcement partners, will continue to investigate allegations of cryptocurrency scams, but the best defense is to educate yourself before making any investment. Remember, if it sounds too good to be true, it probably is.”
FBI sees rise in use of cryptocurrencies in online scams
The FBI is now targeting a new wave of cybercrimes that seek to steal victims’ cryptocurrencies. In this particular case, where Tether has collaborated, the FBI’s Knoxville Division is investigating the case with support from the Department of Justice’s Bureau of International Affairs, and the FBI’s Virtual Assets Unit is providing invaluable assistance.
And data from the US justice system, shared on September 26, 2024, indicates an increase in crimes that steal cryptocurrencies. In complaints to the IC3 alone, crimes of this type have increased by 45% since 2022, from more than US$3.8 billion to more than US$5.6 billion in 2023.