Two Thai businessmen sue Tether, alleging the company unlawfully froze $42.4 million worth of USDT stablecoins. The plaintiffs say they are unable to access the tokens and that the freeze occurs months before federal U.S. authorities obtain a seizure warrant.
The lawsuit claims Tether acted in response to an informal law-enforcement request, according to reporting across outlets. CoinDesk and Decrypt both describe the allegations as taking place more than three months before a seizure warrant is issued. PYMNTS similarly says the freeze predates the period when U.S. authorities are granted the warrant.
Across sources, the central dispute is the timing and basis of Tether’s action: the plaintiffs argue the freeze happened prematurely and without proper legal process, while the outlets focus on the allegation that an earlier, non-warrant request prompted the freeze. The reports also note USDT’s wide use and present the case as a new legal challenge to Tether’s compliance-related decisions.
