Key facts
- Tether froze approximately 1.45 million USDT across four THORChain vault addresses.
- The funds were unfrozen hours later, and trading resumed.
- THORChain technical co-founder Chad Barraford stated there was no prior communication with Tether before the freeze.
- Conduit Technology previously sued Tether for freezing $2.76 million in USDT.
- Two Thai nationals also sued Tether for freezing $42.4 million in USDT.
Tether, the issuer of the USDt stablecoin, has been accused by THORChain's technical co-founder, Chad Barraford, of temporarily freezing approximately 1.45 million USDT across four of the network's vault addresses. Barraford stated in an X post on Friday that the funds were frozen without prior explanation or communication from Tether and were subsequently unfrozen hours later, allowing trading to resume.
Before the addresses were unfrozen, Barraford expressed hope that the action was a mistake or misunderstanding, noting that THORChain was actively seeking to engage with Tether for a conversation. Cointelegraph has reached out to both Tether and THORChain for further details but had not received an immediate response at the time of reporting.
This incident follows similar allegations against Tether. Earlier this week, cross-border payments platform Conduit Technology filed a lawsuit against Tether, claiming the company froze $2.76 million in USDt. Additionally, two Thai nationals sued Tether in August for allegedly freezing $42.4 million in USDt following an alleged informal request from US Homeland Security Investigations.