UN Report: Tether Cryptocurrency a Preferred Tool for Money Launderers and Scammers

Despite regulatory efforts, the stablecoin's instant transactions and anonymity continue to attract criminal activity, particularly in Southeast Asia.

• Tether, a cryptocurrency whose digital token is pegged to the US dollar, is increasingly being used as a payment method for money laundering and scams, particularly in Southeast Asia, according to a United Nations report.
• The UN's Office for Drugs and Crime highlighted the use of Tether in 'pig butchering' scams, where victims are enticed with the promise of lucrative returns before their funds are taken.
• Criminals are attracted to Tether due to its instant, irreversible transactions and the anonymity it provides.
• Online gambling platforms, especially those operating illegally, have been identified as popular vehicles for cryptocurrency-based money laundering, particularly with Tether.
• Despite crackdowns by US law enforcement on digital assets, criminals continue to successfully utilize Tether for illicit activities.

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