Tether announces wallet-freezing policy for OFAC-sanctioned persons


Stablecoin issuer Tether has announced another step toward cooperation with law enforcement and regulatory agencies by initiating a voluntary wallet-freezing policy, according to a blog post on Dec. 9. 

Since Dec. 1, Tether has been offering on the secondary market controls to freeze activity connected with Sanctioned persons on the United States Office of Foreign Assets Control (OFAC) Specially Designated Nationals (SDN) List. Companies and individuals controlled or owned by sanctioned countries are included on the list.

How To Get Free Crypto  

According to Tether, the policy will supplement existing security protocols and is a “proactive effort to work even more closely with global regulators and law enforcement agencies.”

The U.S. Department of the Treasury has been using the list to curb crypto transactions potentially connected to illegal activities, including funding terrorism and unauthorized fentanyl distribution.

Wallets previously added to the SDN List have already been frozen by Tether, a move that contradicts the company’s previous positions on the matter. In August 2022, for example, Tether announced it wouldn’t proactively freeze sanctioned Tornado Cash addresses unless instructed by law enforcement. According to the OFAC, individuals and criminal organizations have used Tornado Cash to launder over $7 billion in cryptocurrency since 2019.

“By executing voluntary wallet address freezing of new additions to the SDN List and freezing previously added addresses, we will be able to further strengthen the positive usage of stablecoin technology and promote a safer stablecoin ecosystem for all users,” said Paolo Ardoino, CEO of Tether.

Coinbase Banner  

The company based in Hong Kong is behind the stablecoin Tether (USDT), whose market capitalization reached all-time highs during the crackdown on crypto firms in the U.S. over the past months. Currently, its market capitalization is at $90 billion, indicating a strong demand for the stablecoin that holds nearly 70% of the market.

Magazine: Lawmakers’ fear and doubt drives proposed crypto regulations in US

Go to Source
Author: Ana Paula Pereira


Recommended Crypto Services, Products and Strategies:

The first thing any crypto investor needs is is a reliable and secure Crypto Wallet.  Whether you’re looking for an online wallet, hardware wallet, desktop or mobile wallet, Crypto Renegade provides you with all the Best Crypto Wallets in each category.

Best Crypto Wallets Banner

When you’re ready to buy more crypto, or exchange your coins for others, Crypto Renegade’s list of the Best Crypto Exchanges has you covered.  The Crypto Exchanges recommended here offer everything from simplicity and convenience to advanced trading platforms and profit sharing. 

Best Crypto Exchanges Banner

If you want to learn more about the methods and tools that can be used to find Great Crypto Projects, then be sure to check out Crypto Renegade’s strategy for How To Find The Best Cryptocurrency.

Crypto Strategy Banner

For those people that don’t have any money to invest right now, or just want to understand the technology a bit more, you’ll definitely want to check out Crypto Renegade’s Free Crypto Strategy and start collecting Free Coins today!

Free Crypto Banner

What do you think about cryptocurrency? Do you have any questions about it? Be sure to leave a comment below.

You May Also Like

More From Author

This site uses Akismet to reduce spam. Learn how your comment data is processed.