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

The US Treasury Department announced on Friday that it has frozen $344 million in cryptocurrency as part of its efforts to disrupt financial networks linked to Iran. 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 $344 million in cryptocurrency. Bessent stated that the US will continue to track and target financial channels supporting the Iranian regime as part of its 'Economic Fury' campaign. The 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 believes that Iran's central bank is using digital assets to conceal cross-border transactions. Authorities claim that Iran is increasingly relying on cryptocurrency to circumvent restrictions, using complex transaction patterns to disguise its involvement in cross-border payments. The OFAC is intensifying its efforts against both traditional front companies and the use of digital assets. Meanwhile, the US has also sanctioned a China-based refinery, accusing it of playing a key role in Iran's oil economy. The US agency is working with blockchain analytics firms and financial institutions to track illicit flows tied to sanctioned entities.