Tether Freezes $160 Million Blacklisted USDT on Ethereum Blockchain

Tether Freezes $160 Million Blacklisted USDT on Ethereum Blockchain
  • Ethereum blockchain now has 563 addresses, banned since 2017.
  • They may freeze or destroy assets by placing them on the blacklist.

The biggest stablecoin issuer has come under scrutiny from regulators in recent years. On January 13th, three Ethereum addresses were blocked with around $160 million in USDT. According to Bloxy blockchain statistics, these three addresses are the first to be added to the Tether blacklist this year. Blockchain data shows that two weeks ago, a Tether account was frozen. In addition to the 312 addresses added last year, the Ethereum blockchain now has 563 addresses that have been banned since 2017.

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They may freeze or destroy assets by placing them on the blacklist since Tether is a centralized firm that notices questionable addresses engaged in crime or money laundering. Tether has now disabled all three of the addresses requested by the authorities to be blacklisted, and they will now be subject to additional investigation. When it comes to a breach or investigation, this most recent blacklisting by the company is by far the biggest to be issued by them.

Tether Surpasses DAI, Ethereum Based Stablecoin

Tether has previously highlighted concerns about the one-to-one backing of USDT circulating supply with US dollars. Tether and Bitfinex’s legal dispute, which was finally resolved in September 2021, was a major worry source.

Decentralized stablecoins like TerraUSD (USDT) and USD Coin (USDC) are expanding quickly. However, centralized stablecoins like Tether (USDT) and USDC (UST) have market capitalizations of more than $80 billion and $44.9 billion, respectively.

As of the beginning of last year, the market value of Terra’s UST stablecoin was roughly $180 million; as of now, it is worth $10.6 billion. TerraUSD recently overtook DAI, the Ethereum-based stablecoin, with a market value of $9.12 billion.

A diploma graduate who is passionate about digital currency and loves writing. He loves the concept of crypto and keeps himself up to date with the latest development and news of the crypto world.