Tether freezes 30 million tied to $USDT linked to a Chinese organization investigated
Xinbi Guarantee is identified by security firms as one of the largest illicit financial infrastructure networks.
The issuing company of the USDT stablecoin, Tether, blocked a total of 39,273,713 USDT on the Tron network on September 8, 2026. The funds belonged to addresses linked to Xinbi Guarantee, an informal custody or escrow market of Chinese origin.
The movement was identified by MistTrack, an on-chain analytics and fund-tracking platform developed by the cybersecurity firm SlowMist. The tool detected the immobilization of capital spread across a group of 10 Tron addresses.
According to the tables shared by the analytics firm, the blocked balance is not distributed uniformly. The TWPma8xH48AEN93x2krdukV9e1j6sPsBeS address held more than 10.7 million USDT, while several additional addresses appeared with balances close to 8 million.
Tether has the technical capability to include addresses on a blacklist within the USDT smart contract. This action prevents any type of outgoing transfer from the flagged accounts. The issuing company has stated that in 2026 it froze $4.2 billion due to links with illicit activities.
Xinbi Guarantee operates as a market platform and informal custody service that works mainly through Telegram channels and online platforms. The system is designed to broker transactions between anonymous parties using cryptocurrencies, with a particular focus on $USDT .
Despite presenting itself as a neutral intermediary to ensure payments between buyers and sellers, several network analytics firms such as Chainalysis, TRM Labs, and Elliptic classify it as one of the largest illicit financial infrastructure networks in the market.
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