Tether Freezes $52 Million in Global Crypto Scam Network Assets

The US Department of Justice credited Tether for its role in a $52 million asset freeze targeting a global crypto fraud marketplace. The operation disrupted a network that facilitated money laundering and investment scams. Tether stated that its proactive assistance enabled investigators to restrain these digital assets quickly.

The target was Xinbi Guarantee, a platform that operated primarily on Telegram. Authorities alleged the marketplace connected scam operators with vendors selling fraudulent services. These services included fake investment websites and recruitment for overseas scam compounds.

DOJ credits Tether for swift asset restraint

Tether announced on September 11, 2026, that the DOJ’s Scam Center Strike Force recognized its contribution. The company noted that its ability to freeze tokens at the contract level accelerated the process. This technical capability allowed for immediate action once investigators identified the relevant addresses.

The freeze occurred after a coordinated sweep of the network. Authorities moved to restrain funds belonging to US victims. The action targeted vendors linked to the same illicit infrastructure. This speed was critical in preventing further movement of the assets.

Operation targets specific scam infrastructure

Investigators seized two wallets used by Xinbi to collect vendor payments. These wallets held approximately $12 million in assets. Authorities also moved to restrain 47 additional wallets. These extra wallets were believed to be tied to laundering activities.

The combined seizures and restraints produced the total $52 million figure. The operation disrupted the supply chain behind various scams. It removed financial tools from operators of fraudulent platforms. This action raises the cost of doing business for transnational fraud groups.

Tether reports broad law enforcement cooperation

Tether stated it has worked with more than 340 agencies in 67 countries. The company reported handling over 2,800 matters in total. More than 1,600 of these matters involved US authorities. These efforts have contributed to freezing more than $5 billion in assets linked to suspected crime.

The company cited recent actions as examples of this cooperation. These include roughly $225 million tied to a trafficking syndicate. It also noted nearly $61 million connected to an investment fraud scheme. Additionally, more than $344 million was frozen with federal agencies. This public credit frames Tether as an active investigative partner. For victims, the freeze is a first step toward potential restitution.