TRON, Tether, and TRM Labs Announce T3 Financial Crime Unit to Combat Illicit USDT Transactions

TRON, stablecoin issuer Tether, and blockchain forensic firm TRM Labs have announced a groundbreaking partnership aimed at combating illicit transactions involving USDT on the TRON blockchain.

TRON, Tether, and TRM Labs Partner to Combat Illicit Transactions Involving USDT on TRON Blockchain

TRON, Tether, the issuer of the world’s largest stablecoin USDT, and blockchain forensic firm TRM Labs have announced a partnership to combat illicit transactions involving USDT on the TRON blockchain.

This partnership aims to create the T3 Financial Crime Unit (FCU), which will work to disrupt and dismantle criminal networks exploiting the TRON network for illegal activities.

“We are excited to announce our partnership with Tether and TRM Labs to establish the T3 Financial Crime Unit,” Justin Sun, founder of TRON, said in a statement. “This unit will play a vital role in combating illicit activity and ensuring the integrity of the TRON blockchain.”

According to a recent report by TRM Labs, illicit funds were involved in about 0.15% of the total crypto transactions in 2023, amounting to about $24 billion. Of these illicit funds, about $19 billion were linked to USDT, with TRON accounting for 45% of these transactions.

The T3 FCU will leverage real-time data and advanced analytics to track and address the flow of illicit USDT transactions. Its efforts have already resulted in freezing over $12 million in USDT linked to fraudulent schemes.

“We are pleased to be working with TRON and Tether to establish the T3 Financial Crime Unit,” Chris Giancarlo, founder and CEO of TRM Labs, said in a statement. “This unit will combine the strengths of our three organizations to combat illicit activity and protect the integrity of the blockchain ecosystem.”

TRON is known for its expansive ecosystem and high transaction volumes, which have made it a key player in the stablecoin market. With over 240 million users and 8.4 billion transactions, TRON’s low transaction fees and stability have attracted a significant amount of legitimate activity.

However, these same features have also drawn the attention of criminals, including terrorists and money launderers. The network’s role in facilitating illicit transactions was highlighted in the recent report by TRM Labs.