Tether, the issuer of USDT, the largest stablecoin on the crypto market, has announced a collaboration with the Tron blockchain team and TRM Labs to fight cybercrime. The initiative is called the T3 Financial Crime Unit.
This novel collaboration brings together the anti-financial crime expertise of TRM Labs, a leading blockchain intelligence firm.
TRM Labs will help Tron and Tether identify illegal transactions. These include terrorism, sanctions evasion, theft, hacking, cybercrime, and fraud. TRM Labs will use its technology and expertise to obtain intelligence.
Since T3 FCU started working with law enforcement, they have frozen over $12 million. This is not new for Tether, who have been blocking user funds since 2017. Over 1,700 addresses on the Ethereum blockchain have been frozen, worth over $1.2 billion.
TRM Labs helps government and law enforcement track blockchain transactions and identify malicious wallets.
Many major cryptocurrency exchanges and AML services use TRM Labs solutions to assess crypto wallets and determine the "purity" of cryptocurrency. Other companies, like Chainalysis and Elliptic, also engage in this process.