US Freezes $344 Million in USDT, Citing Iran Sanctions and 'Economic Fury' Campaign

The US Treasury Department announced on Friday that it has frozen $344 million in cryptocurrency as part of a broader effort to disrupt financial networks linked to Iran. According to Treasury Secretary Scott Bessent, the Office of Foreign Assets Control (OFAC) has sanctioned several cryptocurrency wallets tied to the Iranian regime, resulting in the freeze. Bessent stated that the US will target all financial channels supporting the regime, as part of a campaign known as 'Economic Fury'. This move follows Tether's decision to blacklist two blockchain addresses holding $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 noted that Iran's central bank has been using digital assets to conceal cross-border transactions. 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 Treasury's OFAC is intensifying its efforts against both traditional front companies and the use of digital assets. Additionally, the US sanctioned a China-based refinery, accusing it of playing a significant role in Iran's oil economy. The US agency is working with blockchain analytics firms and coordinating with financial institutions to track illicit flows tied to sanctioned entities.