tl;dr
Binance has joined the T3 Financial Crime Unit (T3 FCU), an anti-money laundering initiative involving Tron, Tether, TRM Labs, and others, to combat terrorism financing, scams, hacks, and money laundering in cryptocurrency. The initiative has frozen over $250 million in illegal cryptoassets across t...
Binance has joined a new anti-money laundering initiative aimed at combating terrorism financing and other criminal activities involving cryptocurrency. This collaborative effort includes major industry players such as Tron, Tether, and blockchain intelligence firm TRM Labs, targeting scams, hacks, and money laundering that affect billions in user and business funds globally. Within less than a year, the initiative has frozen over $250 million in illegal cryptoassets, more than doubling the amount seized in its first six months, covering crimes from investment frauds to ransom attacks and terror financing.
The T3 Financial Crime Unit (T3 FCU) serves as a real-time tracking system for illicit blockchain transactions through public-private cooperation. Founding members—Tron, Tether, and TRM Labs—collaborate closely with law enforcement agencies worldwide to thwart money laundering, extortion, and financial crimes by monitoring billions in suspicious deals and intercepting high-value assets before they vanish into hidden channels. The frozen assets span thousands of cases across more than 100 countries.
The newly formed T3 program expands this collaboration by incorporating exchanges, banks, and other industry participants to share intelligence in real-time. The World Economic Forum recently announced Binance as the first exchange to join this program, marking a significant advancement. Binance’s initial cooperation with T3 FCU enabled the freezing of nearly $6 million linked to a long-term “pig butchering” online fraud scam. This partnership allows Binance’s compliance and security teams to work directly with T3 FCU analysts, accelerating the identification and freezing of suspect funds.
Justin Sun, founder of Tron, emphasized that this move would enhance existing and new partnerships to combat illicit blockchain activity in real-time, while Tether CEO Paolo Ardoino stated that such cooperation leaves bad actors with nowhere to hide. The alliance is especially timely as more than $3 billion in cryptocurrency was stolen in the first half of 2025, with some hacks completed within three minutes. On average, funds are moved 15 hours after a breach, with nearly a quarter fully laundered before public detection. Recovery rates remain low, with only 4.2% of stolen funds recovered during this period.
Centralized exchanges play a crucial role in theft prevention, operating under a tight window of 10 to 15 minutes to block suspicious trades. Approximately 15% of stolen cryptocurrency flows through these platforms, highlighting their importance in security efforts. Despite T3 FCU’s successes, the crypto community has expressed concerns. Tether’s recent freezing of $86,000 in stolen USDT reignited debate over centralized control within a decentralized ecosystem, with critics warning that such powers might erode user autonomy. Meanwhile, proponents argue that these tools are vital for protecting victims and maintaining trust in the system.
Industry leaders agree that collaboration provides the best defense. With Binance’s engagement, T3 FCU aims to respond more quickly and reduce the agility of crypto criminals, reinforcing a united front against financial crime in the blockchain space.