Tether cooperates with US law enforcement and announces a new stablecoin pegged to the UAE dirham
Tether cooperates with US law enforcement and announces a new stablecoin pegged to the UAE dirham
Tether, a leading company in the digital asset industry, continues to demonstrate its commitment to fighting illegal activity in the cryptocurrency space. Recently, Tether played a crucial role in assisting law enforcement, leading to the recovery of nearly $5 million in USDT stolen through a fraudulent scheme known as “pig butchering.” This scam targeted victims by luring them to fake cryptocurrency investment platforms that mimic legitimate ones and ultimately stealing their funds.
In cooperation with the U.S. Department of Justice (DOJ) and the Federal Bureau of Investigation (FBI), Tether helped freeze several wallets associated with the scheme, which was part of a sophisticated money laundering operation. This successful operation marks a significant victory in the ongoing fight against cyber fraud, demonstrating Tether's proactive approach in combating nefarious activity.
Paolo Ardoino, CEO of Tether, emphasized the company's commitment to supporting law enforcement efforts around the world, stating, “Tether remains strongly committed to its mission to support law enforcement around the world in the fight against the illegal use of cryptocurrency. We unequivocally condemn the misuse of USDT or any cryptocurrency for criminal purposes and are fully committed to our ongoing collaborative efforts to combat fraud.”
Tether's efforts to assist law enforcement emphasize its commitment to transparency and accountability in the cryptocurrency industry. To date, Tether has supported more than 145 law enforcement agencies in 40 jurisdictions, recovering more than $108.8 million in USDT and voluntarily blocking more than 1,900 wallets linked to illegal activity.
In a related development, Tether also announced plans to launch a new stablecoin pegged to the United Arab Emirates dirham (AED). The initiative is being developed in collaboration with UAE technology conglomerate Phoenix Group PLC and Green Acorn Investments Ltd. The dirham-linked token will join Tether's existing stablecoin set, which includes USDt, EURT, CNHT, MXNT, XAUT and aUSDT.
The new steiblcoin will be fully backed by UAE liquid reserves, adhering to Tether's strict transparency and reservation standards. This digital asset will allow users to access the benefits of the AED by utilizing the efficiency and transparency of blockchain technology. The Dirham-linked stablecoin is expected to facilitate international trade, reduce transaction fees and provide a hedge against currency fluctuations, playing an important role in the UAE's financial ecosystem.
Paolo Ardoino expressed enthusiasm for the initiative, stating, “The United Arab Emirates is emerging as a significant global economic center, and we believe our dirham-linked token will be a valuable and versatile addition to our stablcoin offerings.”
The global steblecoin market is valued at $150 billion, with USDt alone having a market capitalization of over $115 billion. As cryptocurrency usage in the UAE continues to grow, helped by favorable regulatory environments in cities such as Dubai and Abu Dhabi, the new Tether token pegged to the dirham is poised to become an important tool for businesses and individuals in the region.
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