Tether has frozen more than USD 500 million in digital assets linked to an alleged illegal gambling and money laundering operation in Turkey.
The frozen funds are reportedly connected to Veysel Sahin, whom Turkish prosecutors accuse of operating an illegal betting network.
To date, the freeze represents one of the largest single-asset seizures in the cryptocurrency sector. Tether acted following information provided by law enforcement authorities, according to statements from the company.
Enforcement cooperation with global authorities
Tether CEO Paolo Ardoino confirmed the company's coordination with international law enforcement agencies, including the US Department of Justice and Federal Bureau of Investigation. Earlier in 2026, Tether froze more than USD 180 million worth of USDT tokens. The company has frozen approximately USD 3 billion in assets cumulatively since its establishment.
Tether operates a centralised stablecoin model, enabling the issuer to freeze or blacklist wallet addresses holding USDT tokens. This functionality allows compliance with law enforcement requests and sanctions programmes but contradicts the censorship-resistant principles traditionally associated with cryptocurrency systems.
USDT maintains a circulating supply exceeding USD 187 billion, serving as the primary liquidity mechanism for global cryptocurrency trading. The stablecoin serves more than 534 million users across exchanges and decentralised finance protocols. Traders use USDT to transfer value between cryptocurrency exchanges without converting to fiat currencies.
Reserve diversification and investment activities
Tether has expanded its investment activities beyond stablecoin operations, announcing a USD 150 million investment in Gold.com and a USD 100 million investment in Anchorage Digital, a US federally chartered digital asset bank.
Tether competes with Circle's USDC, which holds approximately USD 42 billion in circulation. Regulatory frameworks for stablecoins continue to develop, with the EU's Markets in Crypto-Assets Regulation establishing requirements for e-money token issuers. Tether does not currently hold MiCAR authorisation.
Turkey has implemented restrictions on cryptocurrency usage for payments while permitting trading on licensed platforms.
