$39 Million USDT Frozen in Xinbi Guarantee Network Takedown

Tether froze $39.3 million in USDT linked to Xinbi Guarantee Network on September 8, just before the U.S. launched a coordinated operation targeting the Chinese-language marketplace accused of serving fraud and money laundering networks in Southeast Asia.

The incident places a stablecoin issuer's ability to control USDT at the center of the campaign to cut off the payment infrastructure of guarantee marketplaces.

The largest wallet held over 10.7 million USDT, accounting for more than 27% of the total value.

Tether's blacklist maintains the USDT balances on the blockchain but prevents the tokens from being moved.