Entered Tether, the issuer of the stablecoin USDT. In partnership with blockchain data platform Chainalogy. This partnership aims to enhance transaction monitoring using Tether tokens. With a particular focus on detecting and reducing risks associated with illegal activities and sanctions violations.
This action is part of Tether's ongoing attempts to improve compliance measures in response to increasing regulatory pressures in various countries.
The new system, developed by Chainalysis, will allow... Tether monitors, tracks and analyzes transactions on secondary markets where USDT is traded. Through the use of modern tools to monitor sanctions and detect illegal transfers. The initiative aims to detect potentially risky wallets and transactions that may be linked to the sanctions list or linked to money laundering and terrorist financing.
Regulatory and Oversight Challenges Tether Faces Tether's moves to improve its transaction monitoring systems came during a period of increasing pressure on stablecoin operators from regulators around the world. Issues have been raised regarding the possibility of USDT being used to bypass international sanctions and cover various illicit financial activities.
