Tether Blacklists Five New Addresses on TRON Blockchain
Recent Blacklisting by Tether
Tether, a leading stablecoin issuer, has recently blacklisted five new addresses on the TRON blockchain. This action, reported by ChainArgos, highlights the ongoing scrutiny and proactive measures taken by Tether to maintain the integrity and security of its network.
ChainArgos Reveals Blacklisted Addresses
ChainArgos, a blockchain intelligence firm, revealed that Tether blacklisted five new addresses on the TRON blockchain. The addresses are:
Notably, the address ending with “ysbN9” lost over $1.2 million USDT.
Background on Tether’s Blacklisting Practices
Historically, Tether has actively blacklisted addresses on its network. By July 2020, Tether had blacklisted 39 Ethereum addresses. Reasons for blacklisting ranged from law enforcement requests to proactive measures in the recovery process of stolen funds. These blacklisted addresses held millions worth of USDT, with the largest one containing over 4.5 million USDT.
Reasons for Blacklisting
Tether blacklists addresses for various reasons, including connections to criminal activities, precautionary measures against potential scams or Ponzis, and in response to law enforcement investigations. In some cases, addresses are blacklisted to prevent errors or to protect others from making errors. Tether’s general counsel has stated that the company routinely assists law enforcement and has helped users and exchanges recover tens of millions of dollars stolen by hackers through their address freeze feature.
Impact on Affected Addresses
Once an address is blacklisted by Tether, it is no longer able to transact with USDT, effectively freezing any existing coins in the address. This action can have a significant financial impact, especially in cases where large amounts of USDT are held in the blacklisted address.