Tether Frozen Funds Raise Legal Questions Over Unjust Enrichment in Crypto Space

A major legal dispute involving Tether has ignited conversations across the cryptocurrency community about its practices and potential conflicts of interest. Riverstone Consultancy, a company that used Tether’s USDT stablecoin, has filed a lawsuit against Tether, accusing them of unjustly profiting from frozen funds without proper legal justification or user consent. The lawsuit alleges Tether froze $44.72 million in assets after receiving an informal request from Bulgarian police and neglecting to provide legal justifications for the action. This instance highlights concerns about how stablecoin companies handle funds seized by authorities and respond to unofficial requests. Legal expert Bill Morgan likened this situation to exchanges failing to distribute airdrops to their users, emphasizing the issue of unjust enrichment. ]