by Matt Agorist
Last month, Tether — the issuer of the world’s largest stablecoin — froze $24 million in USDT at the request of authorities, citing compliance with anti–money laundering regulations.
The move was immediately celebrated by the pro-centralization, pro-government crowd as a win for “financial safety.” But in reality, it’s another warning sign that centralized stablecoins are little more than programmable money subject to instant, unilateral seizure — no court order, no due process, no presumption of innocence. Just allegations and a compliance request.
And this isn’t some rare, extraordinary measure. It happens all the time.
A Pattern of Instant Seizure Without Due Process
Tether has repeatedly frozen and seized funds whenever authorities come knocking — often based solely on allegations:
November 2023: $225 million in USDT frozen linked to alleged human traffickers at the request of the U.S. DOJ.
November 2022: $46 million in USDT frozen following a law enforcement request.
January 2022: $160 million in USDT frozen on the Ethereum blockchain.
Ongoing ability to freeze or destroy USDT baked directly into Tether’s smart contract functionality.
And it’s not just Tether. USDC, issued by Circle, has done the same:
July 2020: $100,000 in USDC frozen after a law enforcement request.
August 2022: Tornado Cash smart contract addresses frozen following OFAC’s sanctioning of the privacy protocol.
If you hold these coins, you’re holding assets that can be erased from your control at the click of a button — no matter where you live, what you’ve done, or whether you’ve ever been charged with a crime.
Sadly, many people still don't see the writing on the wall, even those who should be in the know. The Cato Institute, in a recent piece, pushed back against the idea that government-compliant stablecoins are “CBDCs in disguise.” They had no problem admitting many of the risks these coins pose: centralization, regulatory choke points, and the ability of issuers to comply instantly with government demands, yet somehow they miss the bigger picture.
Cato’s only reassurance? Because these centralized stablecoins are run by “private companies,” they’re safer than CBDCs.
But as we’ve seen, “private” doesn’t mean trustless. Tether and Circle have demonstrated time and again that they will freeze and seize user funds with zero resistance — effectively acting as an outsourced arm of government financial surveillance. This is the same control architecture CBDCs promise, just with a corporate middleman in place of a central bank.
Have You Seen James Corbett’s Interview of Etienne? How to Leave the Cage?
Etienne recently appeared on The Corbett Report with James Corbett to discuss his new book: To See the Cage is to Leave It – 25 Techniques the Few Use to Control the Many.
It is definitely one of Etienne’s best interviews ever! If you have ever wanted to share Etienne’s work with your friends, family or colleagues, this is the interview for you. You can get a copy of To See the Cage is to Leave It (press release) by “Going Paid” on Substack AND get access to all FOUR of the Art of Liberty’s Substacks: Important News from the Art of Liberty Foundation, The Daily News, The Daily News Digest, and Five Meme Friday. By “Going Paid” you can get access to the full transcript, all the slides, memes, and videos mentioned in the interview: How to Leave the Cage - James Corbett & Etienne de la Boetie2
The Best “Go Paid” Deal on Substack! You Get REAL Stuff!!
Go paid at the $5 a month level, and we will send you both the PDF and e-Pub versions of Etienne's new book: To See the Cage Is to Leave It - 25 Techniques the Few Use to Control the Many and a coupon code for 10% off anything in the https://artofliberty.org/store/.
Go paid at the $50 a year level, and we will send you a free paperback edition of Etienne’s new book: To See the Cage Is to Leave It - 25 Techniques the Few Use to Control the Many OR “Government” - The Biggest Scam in History… Exposed! OR a 64GB Liberator flash drive if you live in the US. If you are international, we will give you a $10 credit towards shipping if you agree to pay the remainder.
Support us at the $250 Founding Member Level and get a signed high-resolution hardcover of “Government” - The Biggest Scam in History... Exposed! + Liberator flash drive + a signed high-resolution hardcover of Etienne's new book: To See the Cage Is to Leave It - 25 Techniques the Few Use to Control the Many + everything else in our "Everything Bundle" of the best in voluntaryist thought delivered domestically. International pays shipping. Our only option for signed copies besides catching Etienne @ an event.
