[Cross-border Payment Company Conduit Sues Tether, Accusing It of Unjustly Freezing $2.76 Million USDT] According to Decrypt, cross-border payment company Conduit has filed a lawsuit against stablecoin issuer Tether in the U.S. District Court for the Southern District of New York. Conduit alleges that Tether unilaterally froze $2.76 million worth of USDT in its treasury wallet on September 24, 2025, and has refused to unfreeze the funds for over a year. The lawsuit states that the freeze originated from an investigation by Brazilian police into a third party, Onix. However, Conduit claims that the wallet in question was created after Onix's last transaction, has never held Onix's funds, and was not flagged by Brazilian authorities. The decision to freeze the wallet was made independently by Tether's T3 Financial Crimes Unit. Conduit asserts that the wallet freeze has caused a severe liquidity crisis, forcing the company to lay off employees and shut down offices. Meanwhile, Tether has allegedly continued to earn interest on the U.S. Treasury reserves corresponding to the frozen funds.