Tether Sued Over $2.76M in USDT Frozen for a Year
Cross-border payments firm Conduit Technology has sued Tether in a New York federal court over $2.76 million in USDT that it says has been frozen for over a year.
In a complaint filed October 5 with the US District Court for the Southern District of New York, Conduit says Tether froze its treasury wallet on September 24, 2025 without prior notice or formal justification.
The firm says the wallet held its own working capital, not customer money, and seeks the return of the funds plus damages of at least $2.76 million.
Conduit says the wallet was created on May 20, 2025 and processed 4,427 transactions worth over $1.1 billion before the freeze.
The company alleges the freeze traces to a Brazilian Federal Police investigation into other firms, but says Brazilian authorities never ordered its assets frozen.
Tether did not immediately respond to requests for comment, according to the reports.
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