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Spanish authorities, working with blockchain companies Tron, Tether, and TRM Labs, have frozen $26.4 million in cryptocurrencies tied to a Europe-wide money laundering scheme.
The operation was part of the T3 Financial Crime Unit, a joint anti-crime initiative launched by the three firms in August 2024.
Police surveillance and customer data from crypto service providers helped identify the group and freeze the funds, marking the largest coordinated action by T3 to date. This <a href="https://www.cryptotimes.io/2025/01/03/tether-tron-trm-labs-freeze-over-100m-in-crypto-crime/" target="_blank" rel="noopener noreferrer nofollow">adds to the over $100 million</a> seized during its first year.
According to Spain’s Guardia Civil, the organization used both cash and crypto to move millions across borders for criminal groups.
Despite this, Tron’s security measures have reduced illegal activity on its blockchain by $6 billion. TRM Labs <a href="https://www.trmlabs.com/post/report-teaser-proportion-of-illicit-volume-of-crypto-dropped-51-in-2024" target="_blank" rel="noopener noreferrer nofollow">reports </a>that 49% of Tron’s illegal transactions are linked to sanctioned entities, and 32% involve blocklisted funds.
Tron remains the leading blockchain for illegal transactions, with 58% of such activity happening on its network. Tether’s USDT is the most commonly used cryptocurrency in these crimes.
Centralized stablecoins like Tether (USDT) and Circle’s USDC are commonly used to freeze funds tied to criminal activities, thanks to built-in mechanisms to block illegal transactions.
Tether CEO Paolo Ardoino warned criminals against misusing USDT, highlighting its effectiveness. Following a U.S. Department of Justice investigation, Tether froze $225 million in USDT linked to pig slaughtering frauds in November 2023.
Southeast Asia has become a hotspot for such scams, often run by syndicates that force victims into criminal operations. These groups launder proceeds through platforms like Huione Guarantee, which introduced its own stablecoin in September to bypass freezes, according to Elliptic.
Pig butchering scams launder money through the dark web platform Huione Guarantee, which relies on Tether. To bypass freezes, it launched its stablecoin in September.
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">
 Also Read: <a href="https://www.cryptotimes.io/2025/01/23/justin-sun-unveils-trons-zero-fee-stablecoin-plan/" target="_blank" rel="noopener noreferrer nofollow">Justin Sun Unveils Tron’s Zero-fee Stablecoin Plan</a>
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Spanish Authorities Freeze $26.4M in Crypto from Launderers

The Crypto Times

Other articles published on Jan 27, 2025

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