Recently, TRON, Tether and leading blockchain intelligence company TRM Labs jointly announced the establishment of the T3 Financial Crime Unit ( T3FCU ), a move that marks a major breakthrough in the cryptocurrency industry’s fight against on-chain financial crime. T3FCU aims to clean up the TRON network through public-private partnerships, combat suspected illegal use of USDT, effectively prevent illegal activities such as money laundering and terrorist financing, and protect the stability and security of the financial system.
Justin Sun, founder of TRON, said, “TRON has always been committed to the idea of using technology for good and hopes that technology can benefit everyone in the world. TRON hopes to work with TRM Labs and Tether to ensure that blockchain technology is properly applied, and at the same time we must send a clear signal that illegal activities have no place in the blockchain industry.”
This collaboration combines the strengths of the three parties and is committed to creating a safer cryptocurrency community for all users. TRM Labs, as a leading blockchain intelligence company, has professional capabilities in combating financial crime; TRON, as a major global blockchain and DAO (decentralized autonomous organization), has strong technical capabilities; and Tether, as a giant in the digital asset industry, provides support for the external investigation team.
Under this partnership, TRM will continue to support TRON and Tether to identify transactions related to suspected illegal activities such as terrorism, sanctions evasion, theft, hacking, cybercrime and fraud. TRM will use its proprietary technology and global network of investigative experts to generate relevant intelligence, assist TRON and Tether in combating criminal activities, and support law enforcement operations around the world.
By working together to detect and combat illegal activities, T3FCU will be committed to maintaining the security and prosperity of the entire TRON network and other ecosystems.
Currently, TRM Labs uses its advanced blockchain intelligence technology to provide comprehensive investigative support to law enforcement agencies, national security agencies, financial institutions and cryptocurrency companies to effectively detect, investigate and intervene in fraud and financial crimes involving cryptocurrency. TRMs blockchain intelligence platform includes a range of measures, such as tracking the movement of funds, identifying illegal activities, building cases, and mapping the operations of threat actors.
TRM Labs CEO Esteban Castano noted that this work is a continuation of a long-standing partnership with TRON.
“We are the first blockchain intelligence company to start identifying and flagging illegal activity on TRON. We started collaborating in this area in 2019, but this initiative goes a step further,” he said. “TRON is investing a lot of money to track illegal activity. Although the financial commitment is not disclosed, the focus is clear. So we are increasing our investigative capabilities.”
Chris Janczewski, global director of investigations at TRM Labs, said: “As stablecoins continue to gain popularity, industry pioneers must actively improve their ability to combat criminal activity to maintain the security of the entire industry. TRM is honored to work with TRON, Tether, law enforcement and others to make the blockchain industry safer.”
Within a few weeks of the launch of the T3FCU initiative, significant results have been achieved. The team worked closely with law enforcement agencies and successfully froze more than 12 million USDT funds, which were suspected of being related to illegal activities such as extortion and investment fraud. At present, the police have confirmed 11 related victims, and more victims information is being further verified.
Chris Janczewski highlighted the scale of the collaboration: The first three operations that weve had successful responses involved agencies in the UK, the US and Australia. So weve seen that in many of these cases, it takes a global effort, and I think people coming together to help is going to have a huge impact in the months and years ahead.
As the industrys largest, most transparent, and most liquid stablecoin issuer, Tether is committed to building reliable and sustainable infrastructure for underserved communities. Tether also uses advanced blockchain and peer-to-peer technology to bridge the gap between the traditional financial system and the potential of decentralized finance.
Paolo Ardoino, CEO of Tether, commented on the partnership: “Maintaining the security of the blockchain ecosystem is a top priority for Tether, and it is also our responsibility as an important player in the digital asset space. This mission prompts us to take proactive measures to maintain the security and credibility of the blockchain ecosystem. We are honored to share this responsibility with TRM Labs and TRON. This partnership demonstrates our firm determination to work with industry leaders and law enforcement agencies to combat illegal activities. Our goal is to create a safe environment for all users.”
Paolo Ardoino also highlighted the speed with which the system responds to crime.
“It only takes a few minutes to freeze assets on the blockchain. Imagine someone stealing money from a bank, moving it to different jurisdictions, and it takes a long time to resolve this through traditional judicial channels,” he said. “The T3 group is an example of a three-way collaboration where blockchain analysis companies, blockchain developers, and stablecoin issuers have joined forces to create an alliance that will focus on blockchain security and reduce the delay between when we receive the first piece of information and when we execute the action. This is simply not possible in the traditional international financial system.”
Stablecoins such as USDT are an important pillar of the digital asset industry, providing a stable way to store value and enabling seamless cross-platform fund circulation. Currently, the market value of USDT exceeds 117 billion US dollars, of which the supply of USDT on the TRON network accounts for more than half of its total supply, fully demonstrating the key role of USDT in promoting transactions and enhancing liquidity.
However, the TRON version of USDT has also attracted the attention of criminals engaged in fraud, terrorist financing and other illegal activities due to its low fees, high stability and ease of use. With high throughput and low transaction costs, TRON is becoming more and more popular and the number of users continues to grow, but it also makes it more vulnerable to exploitation by criminals.
The establishment of T3FCU marks an important step forward in the cryptocurrency industry’s fight against money laundering and other financial crimes. This move not only strengthens the TRON network’s defense capabilities against illegal financial activities, but also plays an important role in maintaining the integrity and security of the entire blockchain ecosystem.
