The blockchain analytics firm will provide tools to spot sanctioned and illicit activity and provide market information.
Tether will have the ability to monitor the secondary market for its stablecoin, thanks to a solution created by blockchain analysis firm Chainalysis. The new capabilities will allow Tether to gain market insights and identify wallets that may be tied to illicit or sanctioned addresses.
The new solution will consist of several tools. Tether listed four of them in an announcement on its website. Sanctions Monitoring will provide a list of addresses and transactions that involve sanctioned entities. Illicit Transfer Detector will spot transactions that are potentially associated with activities such as terrorism financing.
Categorization will classify Tether (USDT) holders by type, such as exchange or darknet market. Largest Wallet Analysis will focus on “significant” USDT holders and their activities. Tether CEO Paolo Ardoino said: