Crypto giant Tether disclosed that it has supported the US government in freezing $344 million in USDT held in two Tron wallets, following a request from the Office of Foreign Assets Control (OFAC) and US law enforcement.
Tether’s Latest CrackdownThe company framed this as part of its routine response to lawful requests from governments in the US and abroad, noting that it works with more than 340 law enforcement agencies across 65 countries.
Beyond this specific freeze, Tether said its broader cooperation has supported more than 2,300 cases globally, including over 1,200 tied to US law enforcement.
The company added that those efforts have contributed to the freezing of more than $4.4 billion in assets, including over $2.1 billion linked to US authorities.
Circle Under FireThat controversy is now tied to legal action. NewsBTC reported last week that Circle is facing a fresh lawsuit in Massachusetts connected to the $280 million Drift Protocol hack.
The allegations include that attackers were able to offload up to $230 million onto the Ethereum blockchain by leveraging Circle’s Cross-Chain Transfer Protocol (CCTP), according to the lawsuit’s framing.
Plaintiffs say this ability to transfer stablecoin-related assets during the period when funds were being moved is central to why they believe Circle should have prevented the transfers.
The collaboration, Tether said, creates a structured recovery plan supported by up to nearly $150 million in combined backing, including up to $127.5 million from the company.
Featured image from OpenArt, chart from TradingView.com
