Industry News & Trends
Tether joins fight against CSAM in Web3
Amsterdam, The Netherlands, January 26th, 2023. Today, we welcome Tether Operations Limited (Tether) as our first cryptocurrency exchange funding partner. A leader in transparency in the crypto space, Tether operates the blockchain-enabled platform tether.to, which powers the first and most widely used stablecoin (digital currency tied to traditional currencies) in the digital ecosystem. With over 18.2 trillion dollars in transactions last year, Tether has built a robust team dedicated to ensuring that transactions are Know Your Customer (KYC) verified.
Unlike traditional currencies, cryptocurrency is not globally regulated, making the environment ripe for abuse by bad actors. It’s why industry leaders like Tether recognise the need for sensible regulation as both a safeguard and benefit to crypto customers who use the Tether stablecoin to make tens of billions of dollars in trades every day. Similar to traditional financial institutions , Tether applies Know Your Customer (KYC) to verify that its customers’ transactions are not fraudulent, linked to corruption or illegal activity like money laundering or financing terrorism. Tether has also taken a stance where it is proactively including the coverage of child sexual abuse and exploitation.
“Working alongside law enforcement, lawmakers and standard-setting bodies worldwide, Tether is committed to being a positive force in the crypto space by highlighting the risks of child exploitation and to help organise sensible risk mitigating controls in the cryptocurrency industry. We are especially interested in improving the ability of cryptocurrency businesses to identify transfers related to online CSAM marketplaces and report them to the authorities.” - said Paolo Ardoino, CTO at Tether
INHOPE began discussions with Tether at the INHOPE Summit in 2022, during an open and honest discussion of the essential role of industry in tackling online CSAM. Tether’s active approach to working with industry, NGOs, law enforcement and national financial intelligence units supports the company’s goal to improve the detection and reporting of cryptocurrency transfers related to CSAM.
“We are excited to formalise this relationship and welcome Tether as an INHOPE partner. INHOPE and Tether both want to disrupt the illegal use of digital finance to fund the exchange CSE and CSA. Criminals exchanging online CSA and CSE in financial transactions are sadly found on every technology platform today. Cryptocurrency exchange companies, hotlines and law enforcement need to seek more solutions to fight CSAM by sharing critical information and actionable intelligence with increased efficiency. To respond to this need, Tether is aware that they and other companies in the same industry must be part of this fight, especially where CSE and CSA are traded with cryptocurrencies. By supporting INHOPE’s work Tether is leading the way prioritising child protection.” - Samantha Woolfe, Head of Global Partnerships and Network Expansion at INHOPE
In order to disrupt the increasing use of digital transactions to exchange CSE and CSA, INHOPE is inviting its partners to collaborate on best processes to disrupt financial transactions so that online platforms, crypto, law enforcement and hotlines can interconnect. This year, INHOPE is creating a forum for cryptocurrency exchange collaboration and action to combat CSAM transactions. This issue group will also provide invaluable insight to the INHOPE network of member hotlines as they learn how they can support, disrupt and mitigate more risk of financial transactions of the exchange of crypto-enabled CSAM taking place.
Tether is the preeminent stablecoin and a pioneer for financial freedom and innovation. Created in October 2014, Tether has grown to become the most traded cryptocurrency, surpassing that of all rival offerings combined. Tether is disrupting the legacy financial system by offering a more modern approach to money. By introducing fiat currency-digital cash to Bitcoin, Ethereum, EOS, Kusama, Liquid Network, Near, Omni, Polkadot, Statemine, Statement, Tron, and Algorand blockchains, as well as smart contract platform, Avalanche, Tether makes a significant contribution to a more connected ecosystem. Tether combines digital currency benefits, such as instant global transactions, with traditional currency benefits, such as price stability. With a commitment to transparency and compliance, Tether is a fast and low-cost way to transact with money.
INHOPE is the global network combatting online Child Sexual Abuse Material (CSAM). The Network consists of 50 hotlines in 46 countries that provide the public with a way to anonymously report illegal content online with a focus on CSAM. INHOPE is based in the Netherlands and our member Hotlines operate in all EU member states, Russia, South Africa, North & South America, Asia, Australia and New Zealand. In a borderless digital world, CSAM has global consequences. As CSAM increases, so do our efforts and those of our partners to combat it, aided by funding from the European Commission under the Better Internet for Kids Programme.
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