News View Non-AMP

Tether Recognized by DoJ for Facilitating Seizure of $225M Linked to Fraud Operations

Published by
Steve Muchoki

Tether, a top-tier issuer of stablecoins on different blockchains, has been recognized by the United States Department of Justice (DoJ) for facilitating the seizure of around $225 million linked to an extensive fraud scheme. The stablecoins issuer announced that it worked with the DoJ to freeze the funds in USDT.

According to the DoJ, the frozen funds were stolen from more than 400 suspected victims. The DoJ filed a civil forfeiture complaint on Wednesday in the U.S. District Court for the District of Columbia. 

“This seizure of $225.3 million in funds linked to cryptocurrency investment scams marks the largest cryptocurrency seizure in U.S. Secret Service (USSS) history. These scams prey on trust, often resulting in extreme financial hardship for the victims,” Special Agent in Charge Shawn Bradstreet of the USSS San Francisco Field Office, noted

Tether and the Stablecoins Legislation

As the largest stablecoins issuer, especially U.S. dollar dominated digital currency, Tether has heavily been scrutinized over the years. Currently, Tether is headquartered in El Salvador but remains a major buyer of the U.S. Treasury securities.

With the imminent implementation of the GENIUS Act, especially after a monumental bipartisan support in the U.S. Senate earlier this week, Tether is keen to remain heavily compliant. Furthermore, the GENIUS Act will enforce all stablecoins issuers focused on the U.S dollar to implant a feature that enables them to freeze funds.

“We are setting the standard for compliance in digital assets and leading efforts to ensure stablecoins are not misused by bad actors,” Paolo Ardoino, CEO of Tether, noted.

Steve Muchoki

Steve is a crypto news writer with a passion for decoding market moves. He blends breaking blockchain news with sharp technical analysis and bold price predictions. From Bitcoin rallies to altcoin breakouts, Steve breaks it all down with clarity and insight. Whether you're a trader or just curious, his analysis keeps you ahead of the curve.

Recent Posts

Justin Sun Announces Plans to Purchase Official Trump Meme Worth $100M: What Next for $TRUMP Price?

Justin Sun, a serial entrepreneur with a keen focus on blockchain technology and the web3…

July 10, 2025

Bitcoin Price Hits New ATH of $112k: Is the 2025 Altseason Here? Experts’ Insights

Bitcoin (BTC) price has recorded a new all-time high (ATH) of about $112,000 on several…

July 10, 2025

Pump.fun Confirms $1.3B ICO for $PUMP Token on July 12: Details

Pump.fun, a top-tier memecoin launchpad on the Solana (SOL) network, has confirmed the schedule of…

July 10, 2025

XRP Price Surges Amid Ripple’s Regulatory Push & Institutional Backing

XRP price has witnessed a sharp upward movement in recent sessions, driven primarily by a…

July 10, 2025

Tokenized Securities are Still Securities: SEC Commissioner Hester Pierce Says

Hester M. Peirce, a commissioner of the United States Securities and Exchange Commission (SEC), has…

July 9, 2025

Ruvi AI (RUVI) Gains Traction Among Smart Investors, Audit Success and Early Bonuses Fuel Bullish Outlook

The tech-savvy crypto community is abuzz with talk of Ruvi AI (RUVI), a token that…

July 9, 2025