US Freezes $344 Million in USDT, Citing Iran Regime's 'Financial Lifelines'

In its latest move to disrupt Iran's financial operations, the US Treasury Department has frozen $344 million in cryptocurrency, citing the regime's increasing reliance on digital assets to circumvent sanctions. According to Treasury Secretary Scott Bessent, the Office of Foreign Assets Control (OFAC) has sanctioned multiple crypto wallets linked to Iran, resulting in the freeze of $344 million in cryptocurrency. The effort is part of a broader campaign, dubbed 'Economic Fury', aimed at targeting all financial channels tied to the regime. The sanctions follow Tether's decision to blacklist two blockchain addresses on Tron, holding a combined $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 wallets associated with the Central Bank of Iran. The Iranian central bank has been attempting to use digital assets to conceal its cross-border transactions. The US authorities claim that Iran has been using complex transaction patterns to obscure its involvement in cross-border payments and support trade flows under sanctions pressure. The Treasury Department's OFAC is increasing pressure on both traditional front companies and the use of digital assets. The agency has also sanctioned Hengli Petrochemical (Dalian) Refinery Co., accusing it of playing a key 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 tied to sanctioned entities.