I heard that Tether has frozen funds again! This time it's over 80,000 US dollars, supposedly to cooperate with the police in an investigation!
Recently, news has emerged in the cryptocurrency world that Tether (the company that issues USDT) has acted again, directly freezing 85,877 USDT, claiming it is in collaboration with law enforcement. This is not the first time; Tether has frozen funds repeatedly in recent years, causing some panic—wasn't cryptocurrency supposed to be decentralized? How can USDT just be frozen at will?
How much has Tether actually frozen? The numbers are shocking!
According to official data, Tether has frozen over 2.5 billion USDT in total over the years, and has blocked more than 2,090 wallets, claiming they are involved in illegal activities. Unlike Bitcoin or Ethereum, which are truly decentralized cryptocurrencies, USDT is controlled by Tether; they can freeze anyone's account simply by manipulating the smart contract, without needing the user's consent.
They have frozen larger amounts before!
- In November 2023, Tether froze 225 million US dollars at once, claiming it was related to human trafficking and fraud rings in Southeast Asia.
- In June 2025, they froze another 700 million US dollars, this time related to entities in Iran.
People are starting to worry: will USDT become a tool for the government?
Although Tether claims it is to combat crime, many feel something is off—doesn't this make it similar to banks or Central Bank Digital Currencies (CBDCs)? If the government can order freezes, what is the point of decentralization and financial freedom in cryptocurrency?
Some have complained: "This is not a stablecoin; it's practically a freezeable coin. People initially used cryptocurrency to avoid control from banks and governments, but with USDT acting this way, it feels like we're back on the old path.
What do you think? Is Tether's cooperation with law enforcement a good thing or a bad thing?
Feel free to discuss in the comments!