US Freezes $344 Million in USDT, Citing 'Economic Fury' Against Iranian Regime

In its latest move to disrupt Iranian financial networks, the US Treasury Department announced the freeze of $344 million in cryptocurrency on Friday. This action is part of a broader initiative, dubbed 'Economic Fury,' aimed at targeting the financial lifelines of the Iranian regime. According to Treasury Secretary Scott Bessent, the Office of Foreign Assets Control (OFAC) has sanctioned multiple cryptocurrency wallets linked to Iran, resulting in the freeze of $344 million in cryptocurrency. The effort is focused on tracking and disrupting the flow of money that Tehran is attempting to move outside of the country. This move follows the blacklisting of two blockchain addresses on Tron by stablecoin issuer Tether, which held 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 wallets associated with the Central Bank of Iran. The Iranian central bank has been increasingly relying on digital assets in an attempt to conceal its cross-border transactions. Authorities have noted that Iran has turned to cryptocurrency to bypass restrictions, utilizing complex transaction patterns to obscure its involvement in cross-border payments and support trade flows under sanctions pressure. The Treasury Department's OFAC is intensifying its efforts against both traditional front companies and the use of digital assets. In a related move, the US sanctioned Hengli Petrochemical (Dalian) Refinery Co., accusing the China-based refinery of playing a significant role in Iran's oil economy. The US agency continues to collaborate with blockchain analytics firms and maintains coordination with financial institutions, including crypto exchanges, to track illicit flows tied to sanctioned entities.