The United Nations identifies USDT as a bridge for fraud and money laundering

The United Nations report stated that USDT has become a prominent payment method for criminal activities, money laundering and fraud in Southeast Asia.

The United Nations identifies USDT as a bridge for fraud and money laundering

According to a report by the United Nations (UN) office on drugs and crime,The world's largest stablecoin USDThas become a prominent preferred payment method for money laundering and fraud activities in the Southeast Asia region.

Not only that, this Intergovernmental Organization also identified USDT as the center for the explosion of organized crime as it created a "gateway" Convenient for gangs in Southeast Asia to use to launder illegal money.

"Online gambling platforms, especially those operating illegally, have emerged as one of the most popular vehicles for cryptocurrency-based money launderers, especially for Tether users".

In the article, the United Nations said that the leading stablecoin in the cryptocurrency market has been widely used in the underground fraud world. Victims will be deceived months before losing all assets to bogus investment plans or illegal gambling and virtual currency websites.

This may not come as a surprise as in November 2023,Tether said assisted the US Department of Justice in freezing approximately $225 million in USDT among multiple wallet addresses is linked to a cross-border human trafficking ring responsible for a fraud ring " ;Pig Butchering"  originates from Southeast Asia.

The report also mentions how law enforcement agencies have disrupted multiple money laundering networks involved in illegal Tether transfers in recent years. Typically, in August 2023,Singapore authorities have launched a campaign to dismantle a money laundering network similarly, recovered about $735 million cash and cryptocurrency.  

In response to the United Nations, Tether expressed disappointment that the UN report "only highlights the participation of USDT into illegal activities ignores the stablecoin's role in helping developing economies simply because serving such activities is not in the interest of financial regulators" ;.

Tether claims to comply with the law andready to cooperate with the US Secret Service and the Federal Bureau of Investigation (FBI) in monitoring USDT, clearly demonstrated by having helped the Department of Justice, FBI and US Secret Service blockade more than 326 crypto wallets, containing 435 million USDT in the past few months, can currently pledges "willingness to cooperate closely with law enforcement agencies". 

Tether makes it clear that its stablecoin uses public blockchain technology, which can track every transaction in detail, so there is no convincing basis for it to be an option for illegal activities.

"Instead of focusing solely on risk, the United Nations should discuss how centralized stablecoins can improve efforts to fight financial crime.
There are still many other ways to prevent financial crime on blockchain, and the United Nations must work directly with reputable representatives in the field to understand and implement modern strategies to combat financial crime. Tether is happy to cooperate, assisting the United Nations in achieving better understanding. 

We extend an invitation to the United Nations to participate in a collaborative dialogue, following Tether's previous successful collaboration with dozens of global law enforcement agencies including DOJ and USSS.

At the end of the announcement, Tether affirmed that it will continue to support US authorities in the fight against financial crimes and terrorist financing through cryptocurrency, while also imposing identity verification measures. (KYC) and anti-money laundering (AML). Tether has continuously made moves to help the governments of many countries in recent timesprevent terrorist financing and money laundering, typically in the ongoing conflicts in Ukraine and Israel. However, the issuer of stablecoins has been challenged by many US lawmakers Investigate and clarify the role of USDTin criminal activities.