In a bold response to recent UN allegations, Tether, a leading cryptocurrency platform, has vehemently challenged the characterization of its stablecoin, USDT, as a preferred tool for criminals. The UN’s recent report implicated Tether’s USDT in various illegal activities, including a surge in money laundering and the exploitation tactic known as “pig butchering” in Southeast Asia.

Meanwhile, the swift response from the Tether team has gained traction as it emphasizes its collaboration with global law enforcement, including the DOJ, FBI, and USSS. In addition, the company asserts that the report overlooks the crucial role of blockchain technology in detecting and preventing illicit activities.

According to the statement, Tether, as a stablecoin issuer, enables law enforcement to freeze illegal transactions, a capability absent in traditional assets. The public ledger’s transparency facilitates meticulous transaction tracking, offering a powerful tool in the fight against cryptocurrency-related crimes, the company said.

Tether Challenges UN’s Assessment of USDT

Tether, in a press release on January 16, refuted the UN’s findings, emphasizing its commitment to combating illicit activities through robust collaboration with global law enforcement agencies. In addition, the company contends that its transparent blockchain technology allows unparalleled monitoring, surpassing traditional banking systems in being one of the crucial anti-money laundering (AML) practices.

The statement reads, “The UN’s analysis ignores the traceability of Tether tokens and the proven record Tether has of collaborating with law enforcement.” Notably, the company highlights freezing over US$300 million in recent months, showcasing its dedication to combating criminal use in the cryptocurrency sphere.

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Advocating Blockchain Education & Global Collaboration

Addressing the need for a comprehensive approach and crypto regulations, Tether urges the UN to consider the positive impact of centralized stablecoins in anti-financial crime efforts. In addition, the company proposes collaboration on modern strategies to fight financial crime, extending an invitation for dialogue to enhance mutual understanding.

Meanwhile, Tether urges the UN to broaden its comprehension of blockchain’s potential in fighting financial crime. Emphasizing the need for proactive learning and industry collaboration, Tether advocates for a more informed environment to harness the substantial improvements offered by blockchain technology.

Notably, Tether remains steadfast in promoting transparency and accountability in digital currencies, inviting the UN to engage in a collaborative dialogue to address concerns and foster a collective effort in tackling financial crimes in the digital era. In other words, Tether underscores its commitment to working with authorities to combat misuse, urging recognition of blockchain’s positive impact on enhancing financial transparency and security.

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The post Tether Refutes UN Allegations On USDT Being Criminals’ Favorite appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am