US Freezes $344 Million in USDT, Citing Ties to Iran's Financial Networks

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. Treasury Secretary Scott Bessent stated that 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 explained that the US will target all financial channels connected to the Iranian regime, as part of a campaign known as 'Economic Fury'. This move follows Tether's decision to blacklist two blockchain addresses on Tron, holding a combined total of $344 million in USDT. A US official revealed that the sanctioned wallets showed significant links to the Iranian regime, including transactions with Iranian exchanges and connections to wallets associated with the Central Bank of Iran. The Treasury Department noted that Iran's central bank has been attempting to use digital assets to disguise its cross-border transactions. Authorities stated that Iran has increasingly relied on cryptocurrency to circumvent restrictions, using complex transaction patterns to conceal its involvement in cross-border payments and support trade flows under sanctions pressure. The OFAC is intensifying its efforts against both traditional front companies and the use of digital assets, according to the official. Additionally, the Treasury Department sanctioned Hengli Petrochemical (Dalian) Refinery Co., accusing the China-based refinery of playing a major role in Iran's oil economy. The US agency continues to collaborate with blockchain analytics firms and financial institutions, including crypto exchanges, to track illicit flows linked to sanctioned entities.