The T3 Financial Crime Unit, a joint operation by Tether, TRON, and TRM Labs, has frozen more than $450 million in illicit cryptocurrency since launching in September 2024, with 43.9% more illicit proceeds intercepted in 2025 than the prior year.
The May update reflects expanded cooperation with police forces in the United States, Spain, Germany, the Netherlands, and Bulgaria. The Financial Action Task Force (FATF) has also cited the unit as a leading public-private model for digital asset enforcement.
T3 Expands Reach Across 23 Jurisdictions
The unit operates in 23 jurisdictions, including the United States, Spain, Germany, Brazil, and the United Kingdom. Since its September 2024 debut, it has analyzed millions of transactions across five continents to identify exchange hacks, exploits, DPRK-linked activity, terrorist financing, money laundering, and violent crime cases.
Past T3 actions include a Spanish bust that recovered about $26.4 million tied to a Madrid-based laundering ring.
Response time has been a focus. T3 says it has frozen funds within 24 hours during multiple account takeovers and violent crime emergencies.
The unit also supported Operation Lusocoin, a Brazilian Federal Police investigation that froze more than R$3 billion in crypto, including 4.3 million USDT, Tether’s flagship stablecoin, tied to the criminal network.
Wrench Attacks and North Korean Funds Move Into Focus
Cases this year have spanned controlled substances, terrorist financing, and what T3 calls wrench attacks, a category covering home invasions, kidnappings, and violent extortion against crypto holders.
The unit says it can lock targeted wallets within hours of a verified law enforcement request. BeInCrypto has reported separately that physical attacks targeting digital asset users could climb sharply in 2026.
Recognition came earlier this year, when the FATF named T3, alongside TRM’s Beacon Network, as a leading framework for tackling digital asset crime.
TRM Labs has estimated that illicit crypto flows reached a record $158 billion, an environment in which real-time identification and freezing have become central to enforcement.
“This $450 million milestone is just the beginning of what T3 is capable of, as its impact will only continue to grow in scale and importance.” Paolo Ardoino, Tether CEO, in a statement.
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