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

In its latest move to disrupt Iran's financial networks, the US Treasury Department has frozen $344 million in cryptocurrency, citing links to the Iranian regime. According to Treasury Secretary Scott Bessent, the Office of Foreign Assets Control (OFAC) has sanctioned multiple crypto wallets tied to Iran, resulting in the freeze. Bessent stated that the US will pursue all financial channels used by Tehran, as part of a broader campaign known as 'Economic Fury'. This action 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 Iranian government has been increasingly using digital assets to conceal cross-border transactions, prompting the US to increase pressure by targeting both traditional front companies and digital asset usage. The Treasury Department's OFAC 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 accused of supporting Iran's oil economy.