UN Identifies Tether (USDT) as Preferred Tool for Money Laundering and Fraud in South-East Asia
The United Nations Office on Drugs and Crime (UNODC) reveals in a recent report that Tether (USDT), a leading stablecoin, has become the preferred choice for money launderers and fraudsters operating in East and Southeast Asia.
Criminals in the region favor the Tether-issued stablecoin on the Tron (TRON) blockchain due to its stability, ease of use, anonymity, and low transaction fees. The illicit use of USDT often involves funneling funds through illegal online gambling platforms. The report highlights the emergence of sophisticated money laundering teams specializing in underground USDT-fiat exchanges across the region, with an alarming increase in the recruitment of mule bank accounts.
The report references Tether’s November move to freeze $225 million worth of USDT in Southeast Asian wallets following a U.S. Department of Justice investigation linking the addresses to romance scams involving cryptocurrency investments, particularly the “pig-butchering” scams where fraudsters exploit victims’ trust to disappear with significant funds.
Clever Robot News Desk 17th January 2024
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