The US Department of Justice has credited Tether for its proactive assistance in a major enforcement action targeting Xinbi Guarantee, a global network allegedly helping facilitate crypto fraud, money laundering and scam operations, the company said in a Sept. 11 statement.
The DOJ’s Scam Center Strike Force said more than $52 million in crypto was restrained as part of the action. Authorities seized two Xinbi wallets with about $12 million in vendor payments and moved to restrain 47 additional wallets suspected of involvement in money laundering.
GloriaFlexible superpowers for every investor — best-in-class data, algorithms, and AI-powered research, together in Gloria Finance.
Research smarter → AdvertisementAuthorities said Xinbi operated on Telegram and linked scam operators with vendors offering services such as money laundering, fraudulent investment websites and the recruitment of trafficking victims for scam compounds. Investigators also traced funds belonging to US victims to vendors connected to the network.
Tether said it has assisted more than 340 law enforcement agencies across 67 countries in more than 2,800 cases. Its efforts have contributed to the freezing of more than $5 billion in assets linked to illicit activity, including over $2.5 billion through cooperation with US authorities.
Tether’s recent cooperation with US authorities has included enforcement actions involving roughly $225 million in $USDT tied to a human trafficking and romance scam syndicate, nearly $61 million linked to a crypto investment fraud scheme and more than $344 million frozen in coordination with OFAC and US law enforcement.
Tether pledges to continue to work with US and international law enforcement agencies to combat the illicit use of $USDT and assist in recovering assets linked to criminal activity.