Key facts
- Blockchain investigator ZachXBT identified a $120 million USDT laundering scheme.
- The scheme involved routing funds through Monero, causing its price to surge.
- Monero's price rose from $330 to $438 during the tracing period.
- Tether froze $72 million in USDT connected to the laundering attempt.
Blockchain investigator ZachXBT has traced a significant attempt to launder $120 million in USDT, a stablecoin issued by Tether. The scheme reportedly involved routing funds through Monero, a privacy-focused cryptocurrency. This activity coincided with a notable price surge for Monero, which climbed from $330 to $438.
Following the investigation and tracing of the funds, Tether announced it had frozen $72 million of the USDT associated with the laundering attempt. The incident highlights the ongoing challenges in tracking illicit activities within the cryptocurrency space and the role of privacy coins in such schemes.