Tether froze more than $500 million worth of USDT across 370 Ethereum and Tron addresses over the past 30 days, according to data from blockchain security firm BlockSec. The enforcement spree adds to a growing tally: the company had already frozen $1.26 billion in 2025 linked to illicit activity. The moves come as regulators and law enforcement globally pressure stablecoin issuers to curb misuse.
What the freeze numbers show
BlockSec tracked the addresses and the amounts locked down between early April and early May 2026. The $500 million figure covers both Ethereum and Tron, the two chains where the bulk of USDT circulates. Tether didn't comment on individual cases, but the company typically freezes funds after receiving court orders or law enforcement requests. The 30-day total is one of the highest since the firm started publishing quarterly reports on compliance actions.
Tether's $1.26 billion in freezes during 2025 already dwarfed previous years. The latest $500 million burst suggests the pace isn't slowing in 2026. The company has said it works closely with the U.S. Department of Justice, the Secret Service, and the Federal Bureau of Investigation. Critics argue the numbers show that USDT remains a favored vehicle for sanctions evasion and scams; Tether counters that its cooperation with authorities makes the blockchain transparent and traceable.
For crypto exchanges that list USDT, a freeze means counterparty risk. If a customer's wallet gets blacklisted, the exchange can't process deposits or withdrawals from that address. Tron-based USDT is especially common on smaller Asian exchanges, and the 370 frozen addresses could affect liquidity on those platforms. Users holding USDT on the affected addresses lose access immediately — they can't transact or redeem until the freeze is lifted, which rarely happens.
What comes next
Tether is expected to publish its next quarterly compliance report around mid-July, covering the second quarter of 2026. That report will show whether the $500 million-plus April-May wave is a one-off surge or a new baseline. Meanwhile, the European Union's Markets in Crypto-Assets regulation, which took full effect in December 2025, requires stablecoin issuers to maintain a reserve policy and cooperate with authorities. Tether has applied for a MiCA license in Ireland, but hasn't yet received approval.
