Tether, the main issuer of USDT, the stablecoin indexed to the dollar, announced that it has blacklisted the ETH validator, which has earned $ 25 million worth of crypto thanks to the "Sandwich attack", which is frequently used in the DeFi field.
The malicious validator known as Sandwich the Ripper will be unable to do anything with the $3 million USDT token in his wallet after Tether's decision.
Speaking to the press after the announcement, the Tether spokesperson emphasized that the blacklisting request came from the central authorities. However, he did not explain which institution proposed such a sanction decision.
"As part of our company's principles of collaboration and transparency, we do not turn down requests from regulators around the world."
The ETH validator moved the $5.4 million USDC left in its wallet after Tether's sanction decision to another address. Crypto followers state that it is impossible to take a sanction decision regarding USDC tokens.
Discussions Continue After the Decision
The sanction decision taken by the stablecoin issuer has divided the crypto community. One side commented that the central governments' intervention so easily means censorship. The other party argues that the verifier is malicious.