US Freezes $344 Million in USDT, Citing Ties to Iranian Regime

In its latest move to disrupt financial networks connected to Iran, the US Treasury Department has frozen $344 million in cryptocurrency. According to Treasury Secretary Scott Bessent, the Office of Foreign Assets Control (OFAC) has sanctioned several crypto wallets linked to Iran, resulting in the freeze of $344 million in cryptocurrency. Bessent stated that the US will pursue and disrupt all financial channels used by Tehran, as part of a broader initiative known as 'Economic Fury'. This development comes after Tether, a stablecoin issuer, blacklisted two blockchain addresses on Tron, holding a combined $344 million in USDT. A US official revealed that the sanctioned wallets had significant ties to the Iranian regime, including transactions with Iranian exchanges and connections to wallets associated with the Central Bank of Iran. The Iranian central bank has been increasingly using digital assets to conceal cross-border transactions. Authorities have noted that Iran has been turning to cryptocurrency to evade restrictions, using complex transaction patterns to obscure 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. The US agency is working with blockchain analytics firms and coordinating with financial institutions, including crypto exchanges, to track illicit flows tied to sanctioned entities.