Turkey Orders Tether to Freeze Over $500M Linked to Illegal Betting Probe

Turkey expands crypto enforcement as Tether freezes over $500 million tied to illegal betting and laundering investigations nationwide.

Turkey has ordered the freezing of more than $500 million in crypto, marking a major enforcement action. Authorities targeted funds that were connected to illegal online betting and mass money laundering. The move demonstrates the increasing scrutiny of Turkey towards crypto platforms. It is also a sign of increased oversight after recent regulatory reform.

Turkey Expands Crypto Enforcement with Tether Action

Last week, Istanbul prosecutors announced the confiscation of some 460 million euros, $544 million. The assets were those of Veysel Sahin, accused of operating illegal betting networks. Authorities initially concealed the identity of the crypto firm. However, Tether Holdings SA later admitted its involvement.

Tether CEO Paolo Ardoino told Bloomberg that the company cooperated with Turkish authorities. He said law enforcement exchanged information, which Tether thoroughly reviewed. After verification, the company froze the concerned wallets. The frozen assets were associated with USDt, the $185 billion stablecoin.

Related Reading: Tether Expands USD₮ Network for Global Payments FX

Meanwhile, the Istanbul Chief Public Prosecutor’s Office expanded the investigation on Monday. Authorities froze assets that belonged to Seref Yazici, owner of crypto platform Darkex. The action was part of a larger crackdown on laundering through betting. Investigators were able to trace digital flows across multiple platforms.

Darkex was a dark exchange without a Turkish license, located in Dubai. Its services were blocked by the Capital Markets Board in September 2025. Despite the ban, prosecutors say the platform continued to facilitate transactions. According to MASAK, Darkex gave digital infrastructure for illegal betting groups.

Authorities froze Yazici’s real estate, company shares and bank accounts. Crypto exchange accounts were also part of the freeze. Officials said the measures were aimed at preventing further laundering. The investigation is still ongoing, and further seizures may occur.

AML Pressure Grows as Crypto Freezes Accelerate

The freeze of Tether represents Turkey’s overall anti-money laundering approach. After being removed from the FATF gray list in 2024, the regulators committed to harsher enforcement. Crypto assets were an area of priority. Officials are now focusing on exchanges, wallets, and cross-border flows.

Ardoino stressed the compliance of the national laws in his statement. He said Tether does so when there is credible information provided. This cooperation is similar to those taken in other jurisdictions. Stablecoin issuers increasingly come under the microscope of regulators.

As of early 2026, enforcement actions grew worldwide. Reports show Tether and Circle blacklisted some 5,700 wallets. Combined frozen assets totaled some $2.5 billion. These figures should highlight an increasing level of coordination between the issuers and the authorities.

Turkey’s example is unique in its scale and pace. The frozen sum is more than $500 million. Officials believe the action disrupts major betting networks. It also sends a warning to unlicensed platforms operating within the country.

Regulators keep on reviewing the rules for the crypto market. New compliance standards are supposed to make monitoring more robust. Authorities say more will be done to ensure financial stability. As a result, crypto-associated laundering is coming under growing pressure in Turkey’s financial system.

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