Tether Sued Over Alleged Informal Request Freeze

Tether, the stablecoin issuer, has been sued by two Thai businessmen over $42.4 million in frozen funds. The lawsuit alleges that Tether acted on an informal request from the US government before obtaining a seizure warrant.

The plaintiffs claim they bought their USDT on the secondary market and have no contract with Tether. They argue that the company's actions constitute conversion, trespass to chattels, and unjust enrichment.

Tether has frozen over $4 billion in assets worldwide, including more than $2.1 billion tied to US authorities. The company claims its cooperation with law enforcement has helped prevent unlawful use of USDT.