TETHER, transmitter of the largest stablecoin in the world, said on Sunday that it had frozen $ 85,877 in USDT (USDT) linked to the stolen funds, acting in “collaboration with the police”. This decision rekindled a debate on the role of centralized stablecoin issuers in the application of compliance with cryptography.
The frost, although relatively minor compared to other actions of these tather, adds to the growing record of intervention of the company. Tether says that he has frozen more than $ 2.5 billion in USDT linked to illegal activity and blocked more than 2,090 portfolios in cooperation with the global authorities.
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Stablecoins: a powerful application tool
Unlike truly decentralized cryptocurrencies and censorship resistant such as Bitcoin and Ethereum – where no single entity can block or reverse transactions – the attachment and other stabing transmitters can freeze USDT and their respective stables in the intelligent contract.
This centralized control allows stall emitters to quickly respond to hacks, scams and regulatory pressure. In the case of Tether, it has resulted in some of the greatest frosts in the history of cryptography.
In November 2023, Tether froze $ 225 million in USDT from wallet addresses linked to a network of human traffic and romantic scam in Southeast Asia (often called “pig butcher”). The action was carried out in collaboration with OKX and the American police, including the Ministry of Justice and the Secrets.
https://www.youtube.com/watch?v=alc2u0ynfca
In June 2025, Tether targeted 112 portfolios holding around $ 700 million in USDT in the Tron and Ethereum blockchains. The funds were linked to the entities linked to Iran, and the frost was considered to be broader efforts to enforce US sanctions in the midst of increasing geopolitical tensions.
These highly publicized interventions reflect a change in the way stablecoins are perceived – not only as digital dollars, but as active financial application instruments. CEO Paolo Ardoino adopted Tether’s evolutionary identity as an application of cryptographic compliance.
“Tether’s ability to follow transactions and freeze usdt linked to illicit activity distinguishes him from traditional and decentralized fiat assets,” wrote Ardoino in a Mars blog article on the Tether website. “We take our responsibility to fight financial crime seriously and will continue to work closely with global law organizations.”
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The power of the application of the implementation of the TETHER is the concern
Tether’s ability and preparation to freeze user funds have raised concerns among some people in the cryptographic community. Critics argue that if stablecoin issuers regularly cooperate with the police, the result could resemble a digital currency from the Central Bank (CBDC), undermining the basic cryptographic values of financial sovereignty and decentralization.
X users have called the recent action of Tether a “slippery slope”. A user wrote: “Can someone explain how it is not exactly what a CBDC is?”
Another person who follows history noted that “centralized control has their moments”. In this case, the “quick response to Tether here allowed $ 85,000 to disappear in the void”.
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