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

In its latest move to disrupt Iranian financial networks, the US Treasury Department has frozen $344 million in cryptocurrency, citing links to the Iranian regime. Treasury Secretary Scott Bessent stated that the Office of Foreign Assets Control is targeting crypto wallets tied to Iran, resulting in the freeze of $344 million in cryptocurrency. Bessent noted that the US will track and target all financial channels supporting the regime as part of its 'Economic Fury' campaign. The move follows Tether's decision to blacklist two blockchain addresses holding $344 million in USDT. According to a US official, the sanctioned wallets showed 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 have observed an increase in Iran's use of crypto to bypass restrictions, employing complex transaction patterns to obscure its involvement in cross-border payments. The US is working with blockchain analytics firms and financial institutions to track illicit flows tied to sanctioned entities, and has also sanctioned a China-based refinery for its role in Iran's oil economy.