Tether Blacklist Delay Allows Hackers to Steal $78 Million in USDT: Report

A new report by blockchain compliance firm AMLBot reveals a significant security vulnerability within Tether’s blacklisting system. The delay in freezing the wallets of hackers who moved over $78 million worth of USDT (Tether stablecoin) before action was taken is attributed to Tether’s two-step blacklisting process. AMLBot highlighted that the delay allows illicit actors ample time to transfer funds before being blocked, effectively turning a technical process into an opportunity for criminal activity.