Tether Freezes $544M in Crypto Tied to Turkish Illegal Betting Probe

Tether has frozen more than half a billion dollars in cryptocurrency at the request of Turkish authorities, blocking funds tied to an alleged illegal online betting and money-laundering operation.

Last week, prosecutors in Istanbul announced the seizure of approximately €460 million ($544 million) in assets belonging to Veysel Sahin, accused of operating unlawful betting platforms and laundering proceeds. Officials initially declined to identify the crypto firm involved, but the company was Tether Holdings SA, the issuer of the $185 billion USDt (USDT) stablecoin, CEO Paolo Ardoino told Bloomberg.

“Law enforcement came to us, they provided some information, we looked at the information and we acted in respect of the laws of the country,” Ardoino reportedly said. “And that’s what we do when we work with the DOJ, when we work with the FBI, you name it,” he added.

The action came as part of a broader investigation targeting underground gambling and payment networks in the country. Turkey has already seized more than $1 billion in assets through related probes, according to Bloomberg.

Related: Tether releases open-source operating system for Bitcoin mining

Tether, Circle blacklist 5,700 wallets

According to analytics firm Elliptic, stablecoin issuers, primarily Tether and Circle, had blacklisted about 5,700 wallets containing roughly $2.5 billion by late 2025. About three-quarters of those addresses held USDT at the time they were frozen.

Tether also told Bloomberg that it has assisted authorities in more than 1,800 investigations across 62 countries, resulting in $3.4 billion in frozen USDT connected to alleged criminal activity.

Despite the cooperation, USDt continues to attract scrutiny. US prosecutors last month charged a Venezuelan national with laundering $1 billion, largely using the token, while blockchain researchers have linked large USDt transactions to sanctions-evasion activity.

Last year, Bitrace also reported that $649 billion in stablecoins, or about 5.14% of total stablecoin transaction volume, flowed through high-risk blockchain addresses in 2024, with Tron-based USDt accounting for more than 70% of the activity.

Related: Tether CEO denies the company ever planned $20B raise

Tether’s USDT hits $187B market cap

As Cointelegraph reported, Tether’s USDt reached a record $187.3 billion market capitalization in the fourth quarter of 2025, growing by $12.4 billion despite a broader crypto downturn triggered by October’s liquidation cascade. While USDt expanded, rival stablecoins struggled, with Circle’s USDC (USDC) ending the quarter largely flat and Ethena’s USDe losing about 57% of its value.