Tether joined forces with Tron and TRM Labs to establish a new crime-fighting unit a few days ago.
This is the T3 Financial Crime Unit (T3 FCU), which is the outcome of a public-private partnership to combat illicit activities related to the use of USDT on the Tron blockchain.
USDT, the stablecoin of Tether, has been the subject of the a majority of transactions on Tron for an extended period.
Initially, USDT was introduced on Omni, a blockchain that was derived from the Bitcoin blockchain, in 2014. However, it was also introduced on Ethereum at a later date, where it obtained a significantly greater level of popularity.
Tether chose to make its stablecoin available on more economical blockchains, such as Tron, because the Ethereum blockchain does not have very low transaction fees.
Currently, USDT is present on as many as 16 blockchains, including Omni, Ethereum, and Tron, as well as on a variety of layer-2s.
Tron holds nearly 62 billion of the approximately 118 billion USDT tokens, while Ethereum has fewer than 54 billion. Solana and Avalanche have now passed Omni, substantially increasing TON.
In addition to Tron and Tether, T3 FCU is also and foremost associated with TRM Labs, one of the foremost blockchain intelligence companies with a focus on the prevention of financial offences. In addition to Tron’s on-chain technical expertise, Tether will provide access to its external investigations team.
Tether has reported that the initiative has already facilitated the suspension of over 12 million USDT in funds associated with frauds and fraudulent investment schemes in the weeks following the introduction, in collaboration with law enforcement. The unit was already established sometime ago.
TRM will offer ongoing assistance to Tron and Tether in the identification of transactions that are associated with purported unlawful activities, including but not limited to financing terrorism, sanctions evasion, robberies, hacking, cybercrime, and fraud. The work will bolster Tron and Tether’s endeavors to facilitate collaborations with law enforcement agencies worldwide and disrupt criminal activity.
In the official statement, Tether also states that stablecoins, such as USDT, are the foundation of the digital asset sector. This is due to the fact that they facilitate the seamless transfer of funds between platforms and serve as a reliable store of value.
Additionally, it acknowledges that the same attributes that render USDT appealing to legitimate users also captivate the interest of fraudsters, terrorism financiers, and other criminal entities.
Thus, as USDT’s prominence and user base on Tron expand, its exposure to illicit subjects also increases. T3 FCU endeavors to safeguard the integrity of the Tron blockchain by taking a substantial stride towards preventing criminals from laundering and utilizing the proceeds of crime using USDT.
Also Read: Trump and Harris tie in prediction markets following debate
Wallets