A delay in Tether’s USDT blacklisting process allowed over $78 million in illicit funds to evade freezing, according to an AMLBot report.
A lag in Tether’s wallet blacklisting process allowed over $78 million in illicit funds to be moved before enforcement actions took effect, according to a new report from blockchain compliance firm AMLBot.
In a May 15 report, AMLBot’s onchain investigation team explained that Tether’s address blacklisting becomes effective after a considerable delay from when the process is initiated on Ethereum and Tron.
“This delay originates from Tether’s multisignature contract setup on both Tron and Ethereum, transforming what should be an immediate compliance action into a window of opportunity for illicit actors,“ the report stated.
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