Tether Freezes 30 Times More Value Than Circle Amidst Stablecoin Blacklist Surge

Data from AMLBOT reveals significant differences in how Tether and Circle handle the freezing of stablecoin addresses between 2023 and 2025. Tether has frozen $3.3 billion in assets, compared to Circle's $109 million. These actions reflect differing strategies in compliance and enforcement between the two leading stablecoin issuers.

Key Takeaways

Tether froze approximately $3.3 billion in crypto assets from 2023 to 2025, while Circle froze $109 million.
Tether blacklisted 7,268 addresses, many in collaboration with U.S. law enforcement.
A large proportion of frozen Tether assets were on the Tron network.
Circle froze assets strictly under court orders and does not burn or reissue tokens after freezing.
The contrasting policies and enforcement strategies highlight operational differences between Tether and Circle.

Tether vs Circle stablecoin freezes 2023–2025 comparison.

Main Content

According to data released by AMLBOT, Tether and Circle took markedly different approaches to freezing stablecoin addresses from 2023 to 2025. Tether's actions led to approximately 30 times more value being frozen compared to Circle. Specifically, Tether froze around $3.3 billion in crypto assets, whereas Circle froze about $109 million.

The report underlines the differing compliance and enforcement strategies of these two prominent stablecoin issuers. Tether was responsible for blacklisting 7,268 addresses in the noted period. More than 2,800 of these actions were executed in cooperation with U.S. law enforcement, targeting funds associated with scams and other illicit activities.

A considerable portion of the assets frozen by Tether was found on the Tron network, which made up over 53% of all frozen tokens. Tether utilizes a “freeze, burn, and reissue” mechanism, allowing them to invalidate recovered funds and reissue them under controlled circumstances.

The data also indicated that there are currently $1.54 billion in Tether on the Ethereum network that is held in banned wallets, pointing to significant enforcement tied to Ethereum-based tokens.

In contrast, Circle froze 372 addresses, amounting to $109 million in its stablecoin. Circle's policy for freezing funds is stricter; they only do so when under direct court orders or regulatory directives. Unlike Tether, Circle does not burn or reissue tokens that have been frozen.

These operational choices reflect the differing models employed by the two stablecoin issuers. Tether's strategy is more about rapid intervention and large-scale asset recovery, while Circle's emphasis lies on legal formalities and regulatory restraint.

Adherence to issuer policies, the cooperation of different jurisdictions, and enforcement mechanisms all influence how stablecoin assets are managed in situations requiring compliance, investigations, or sanctions.