Tether froze $39.27 million in USDT across 10 TRON addresses linked to Xinbi Guarantee, according to blockchain-monitoring firm MistTrack.
MistTrack said the wallets held 39,273,713 USDT when the funds were frozen on Sept. 8. The action follows an earlier Tether freeze involving wallets linked to Huione Guarantee, another Telegram-based escrow service.
The addresses have been linked to a network accused of facilitating illicit cryptocurrency activity. The freeze could restrict fund movements through Xinbi’s Telegram-based escrow services.
Xinbi Guarantee Faces Scrutiny
Xinbi Guarantee emerged around 2022 as a Telegram-based marketplace. The platform reportedly connected merchants with services linked to scams and money laundering.
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Blockchain investigators estimate Xinbi-linked wallets processed billions of dollars in USDT. Some estimates put the total near $24 billion, with most transactions occurring on TRON.
The UK sanctioned Xinbi in March over alleged links to scam compounds and human rights abuses. Reports indicate the platform continued operating through alternative channels.
Tether Tightens USDT Controls
Tether can blacklist blockchain addresses through its USDT contracts, preventing those wallets from transferring the tokens. The freeze highlights the issuer’s centralized control over USDT.
Tether had not explained the freeze or confirmed a law-enforcement request as of publication. The action could prompt operators to shift funds to other wallets or networks.
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Source: https://coinedition.com/tether-freezes-39m-usdt-in-xinbi-linked-tron-wallets/
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