US Freezes $344 Million in Tether's USDT, Citing Iran Sanctions

In its latest move to disrupt Iran's financial operations, the US Treasury Department has frozen $344 million in cryptocurrency, citing links to the Iranian regime. According to Treasury Secretary Scott Bessent, the Office of Foreign Assets Control (OFAC) has sanctioned several crypto wallets tied to Iran, resulting in the freeze of a substantial amount of USDT. Bessent stated that the US will pursue all financial channels used by Tehran, as part of a broader initiative known as 'Economic Fury'. This development follows Tether's decision to blacklist two blockchain addresses on Tron, holding a combined total of $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 ties to the Central Bank of Iran. The Treasury Department noted that Iran's central bank has been attempting to conceal its cross-border transactions by utilizing digital assets. Authorities claim that Iran has been increasingly relying on cryptocurrency to circumvent restrictions, using complex transaction patterns to obscure its involvement in cross-border payments and support trade flows under sanctions pressure. The OFAC is intensifying its efforts to combat both traditional front companies and the use of digital assets, with the official adding that the agency is working closely with blockchain analytics firms and financial institutions to track illicit flows tied to sanctioned entities.