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

The US Treasury Department 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 multiple crypto wallets tied to the Iranian regime, resulting in the freeze of a substantial amount of cryptocurrency. The move is part of a campaign dubbed 'Economic Fury', which aims to target all financial lifelines tied to the regime. This action follows Tether's decision to blacklist two blockchain addresses holding $344 million in USDT. The sanctioned wallets have been linked to the Iranian regime through transactions with Iranian exchanges and connections to wallets associated with the Central Bank of Iran. The US Treasury Department believes that Iran has been using digital assets to mask cross-border transactions and bypass restrictions. To combat this, the OFAC is increasing pressure on 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.