Did you know Tether can freeze your wallet address?
Over 7.9M USDT has been frozen by Bitfinex as requested by law enforcement.
"Turns out 39 addresses have been banned from using USDT on Ethereum as of now."
- Philippe Castonguay
Philippe Castonguay created a dashboard where you can monitor USDT bans in real-time.
Out of the 39 wallets that have been banned, 24 are from this year alone. The first Tether wallet ban started back in 2017 but signs show it is happening more frequently.
If your wallet is banned, you are unable to send or receive USDT and will receive an error Failed with error 'address frozen'.
Interestingly, a few of the addresses have no funds yet were banned anyway.
Bitfinex is currently involved in two lawsuits for losing over $800M in customer funds. They also are involved in a class-action lawsuit for market manipulation.
The US government has been paying close attention to stable coins and are increasing their efforts.
