US Justice Department seizes 9M USDT amid $225M illicit funds frozen by Tether

Officials reported the seizure was tied to an organization responsible for “pig butchering” romance scams.

The United States Department of Justice announced it had seized roughly $9 million worth of Tether (USDT) following the stablecoin issuer freezing funds connected to a criminal organization responsible for romance scams.

In a Nov. 21 announcement, the Justice Department said the seized funds came from “scammers who stole millions from victims across the United States” and were presumably part of Tether’s efforts to freeze $225 million worth of USDT in “external self-custodied wallets” connected to the scam. The funds were allegedly tied to an organization responsible for “pig butchering” romance scams, in which bad actors attempt to develop an online relationship with unsuspecting individuals, often convincing them to invest in legitimate businesses before conning them.

“These scammers prey on ordinary investors by creating websites that tell victims their investments are working to make them money,” said Acting Assistant Attorney General Nicole Argentieri. “The truth is that these international criminal actors are simply stealing cryptocurrency and leaving victims with nothing [...

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