Tether Assists DOJ in $225M Stablecoin Seizure Linked to ‘Pig Butchering’ Scam

Tether, the issuer of the world’s largest stablecoin, has been recommended by the U.S. Division of Justice (DOJ) for aiding in a serious enforcement operation. The collaboration led to the seizure of roughly $225 million in USDT tied to a world “pig butchering” rip-off, a large-scale fraud scheme that used subtle crypto techniques to deceive victims.

With Tether’s help, the funds have been frozen by means of blockchain tracing instruments that helped limit entry to the illicit belongings. The corporate labored carefully with legislation enforcement all through the operation, highlighting rising cooperation between crypto corporations and authorities in combating digital asset-related crimes.

Tether’s $2.7B USDT Crackdown

Tether stated that the seizure aligns with its mission to advertise compliance, transparency, and security within the digital asset area. The corporate famous it has already frozen over $2.7 billion in USDT linked to suspicious exercise. These efforts are supported by real-time blockchain monitoring instruments and partnerships with greater than 255 enforcement businesses throughout over 55 nations.

As a part of these efforts, the stablecoin issuer has taken motion in a number of high-profile circumstances. In March 2025, it assisted the U.S. Secret Service in freezing $23 million in USDT tied to the sanctioned Russian change Garantex. It additionally partnered with TRM Labs, the Tron blockchain, and Spanish authorities to disrupt over $100 million in illicit funds.

Commenting on these initiatives, CEO Paolo Ardoino emphasised Tether’s dedication to defending customers and sustaining regulatory requirements. He added that working with the DOJ highlights the corporate’s proactive function in stopping the misuse of stablecoins and selling transparency within the crypto sector.

Tether Helps GENIUS Act Compliance Push

As essentially the most broadly used U.S. dollar-pegged stablecoin, Tether has lengthy been on the middle of regulatory debates. In response, the corporate has strengthened its compliance efforts, particularly because the U.S. advances the GENIUS Act.

Lately accredited by Congress, the laws requires all dollar-based stablecoin issuers to implement techniques able to freezing funds linked to criminal activity. Tether has expressed its readiness to conform, calling the measure a key step towards guaranteeing the long-term safety and credibility of stablecoins.