Tether froze $344 million in USDT▼$0.9985 on TRON with U.S. authorities shortly after TRON founder Justin Sun launched a lawsuit against WLFI▲$0.0574.
The company behind the largest dollar-pegged stablecoin just made what appears to be one of the massive freezes in its history, adding fresh weight to how much control exists behind the scenes.
Tether, the issuer of the $180 billion USDT stablecoin, said in a Thursday blog post it blocked $344 million worth of tokens on the TRON network. The move, according to the company, was executed “after the addresses were identified, preventing further movement of funds.”
Read also: WLFI and Justin Sun Conflict: From $75 Million Investment to Lawsuit Threat
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USDT on TRON Sees One of Its Largest Freezes Yet
The freeze was carried out in coordination with the Office of Foreign Assets Control and other law enforcement bodies. Tether says the freeze follows “information shared with Tether by several U.S. authorities about activity tied to unlawful conduct.”
However, the exact nature of that misconduct remains unclear.
Tether says it now works with more than 340 law enforcement agencies across 65 countries and has supported over 2,300 investigations globally, including more than 1,200 tied to the U.S.
In February, Tether said it had frozen more than $4.4 billion in assets, with over $2.1 billion linked directly to U.S. authorities. This makes the latest action one of the largest single freezes publicly disclosed so far.
TRON Founder Clashes with Trump-backed Crypto Venture
The freeze comes just a day after TRON founder Justin Sun filed a lawsuit against World Liberty Financial, a Trump-linked crypto venture, claiming his tokens were locked and he was blocked from selling them.
As per the filing, the problem goes all the way back to September 2025, when WLFT tokens became partially transferrable. It was around this time that wallets related to Sun began transferring tokens and then the project took action, freezing all his tokens.
The feud escalated further in April, when WLFI rolled out a new governance proposal that could tighten restrictions on token holders even more, while Sun says he can’t vote on it because his tokens are already frozen.
Read more: Tether Backs Drift With $148M After $280M Crypto Exchange Hack
