Tether has frozen $3.3 billion in USDT linked to illicit activities since 2023, according to data from AMLBot. This action is part of a broader trend of increased regulatory enforcement, particularly in light of the EU's Markets in Crypto-Assets Regulation. Circle has similarly frozen $109 million in USDC during the same period.The majority of Tether's frozen assets are on the Ethereum blockchain, although both Tether and Circle's stablecoins operate across multiple chains. Tether employs post-hoc investigations and blockchain analytics to manage compliance, differing from Circle's centralized compliance approach. These measures reflect the crypto industry's adaptation to heightened regulatory scrutiny and a focus on tracking high-risk assets.