a blog post on December 9,<\/a> Tether stated it would be introducing a voluntary wallet-freezing initiative designed to counter the transactions associated with Sanctioned Persons on the Office of Foreign Assets Control (OFAC) Specially Designated Nationals (SDN) List.\u00a0<\/span><\/p>\nAccording to Tether, the company currently has a wallet-freezing policy, but it is only applicable to wallets on its platform. <\/span>Moving forward, the stablecoin issuer now offers its sanctions control on the secondary market, as it aims to improve its collaboration with governmental agencies in ensuring the safe use of stablecoins.<\/span><\/p>\nInterestingly, Tether\u2019s latest policy is in direct opposition to its stance in 2022 when it stated it would not willingly restrict sanctioned Tornado cash addresses, barring a direct order from security agencies.\u00a0<\/span>With its announcement, the stablecoin issuer has now begun implementation of its new policy and ordered a wallet-freeze of all 41 wallets associated with persons and companies on the OFAC-SDN list.\u00a0<\/span><\/p>\nCommenting on this development, Pablo Ardonio has expressed much excitement towards user safety and forming stronger ties with regulators worldwide.\u00a0<\/span><\/p>\nHe said: <\/span>
\n<\/span><\/p>\nThis strategic decision aligns with our unwavering commitment to maintaining the highest standards of safety for our global ecosystem and expanding our close working relationship with global law enforcement and regulators. By executing voluntary wallet address freezing of new additions to the SDN List and freezing previously added addresses, we will be able to further strengthen the positive usage of stablecoin technology and promote a safer stablecoin ecosystem for all users.<\/span><\/p><\/blockquote>\nMeanwhile, some crypto enthusiasts have welcomed this development as they believe it could exert some positive effect on stablecoin adoption in terms of regulations and general usage.\u00a0<\/span><\/p>\n