Tether (USDT) blacklisted 39 Ethereum addresses worth USDT $46 million, with 24 assets totaling over USDT $5.5 million blacklisted this year. This announcement came as a result of the first blacklist of an Ethereum address owned by the Center, containing US $100,000.
Philippe Castonguay, an Ethereum researcher at Horizon Games, used Dune Analytics to create a dashboard that will monitor the number of addresses blacklisted by both the Center and Tether. The highest address is more than USD 4.5 million and was blacklisted only recently on April 5.
Similar to blacklisted USDC addresses, Tether addresses receiving a blacklist feature will no longer trade with Tether. Freezing any current coins kept at the address.
Stuart Hoegner, general counsel at Bitfinex (Tether’s sister company), told the media that Tether partners with foreign law enforcement authorities and tackles blacklists when necessary:
“Tether routinely assists law enforcement in their investigations… Through the freeze address feature, Tether has been able to help users. And exchanges to save and recover tens of millions of dollars stolen from them by hackers.”
Eric Wall, CIO of Arcane Resources, said on Twitter the most recent freeze occurred on June 14, retaining USDT 939,000 earned from Binance just 22 hours before the blacklist.
Besides this, added Wall, most of the other freezes were merely precautionary measures:
“Most other freezes seem to have been made on Ethereum accounts either for precautionary reasons (possibly identified as scams/Ponzis). Or in error/to protect others from making errors (like freezing 0x000…0001). 3 addresses were unfrozen after the freeze.”
The latest development contributes to the mistrust of the crypto world ‘s central organizations. With specific opposition to stablecoins and their ability to be censored. On Castonguay’s Twitter post, one user commented that Dai (DAI) and sUSD are the only stablecoins resistant to censors.