US Freezes $344 Million in USDT, Citing Ties to Iran's Financial Network

The US Treasury Department announced on Friday that it has frozen $344 million in cryptocurrency as part of its efforts to disrupt financial networks linked to Iran. According to Treasury Secretary Scott Bessent, the department's Office of Foreign Assets Control (OFAC) has sanctioned several crypto wallets with ties to Iran, resulting in the freeze of $344 million in cryptocurrency. Bessent stated that the US will target all financial channels supporting the Iranian regime as part of its 'Economic Fury' campaign. The move follows Tether's decision to blacklist two blockchain addresses on Tron, holding a combined $344 million in USDT. A US official revealed that the sanctioned wallets had significant connections to the Iranian regime, including transactions with Iranian exchanges and links to the Central Bank of Iran. The Treasury Department believes that Iran's central bank is using digital assets to conceal cross-border transactions. Authorities claim that Iran is increasingly relying on cryptocurrency to circumvent restrictions, using complex transaction patterns to disguise its involvement in cross-border payments and support trade flows under sanctions pressure. The Treasury Department's OFAC is taking aggressive action against both traditional front companies and the use of digital assets, while also working with blockchain analytics firms and financial institutions to track illicit flows tied to sanctioned entities.