US Seeks $61M in Tether Tied to Iran Oil Sales
U.S. prosecutors are seeking to seize approximately $61 million in Tether's USDT stablecoin, alleging the funds originated from illicit Iranian oil sales. The civil forfeiture complaint filed by the Southern District of New York targets 10 Tron addresses containing the USDT.
The U.S. Attorney's Office claims these funds were intended to benefit Iran's government and military, including the Islamic Revolutionary Guard Corps (IRGC). Tether had previously frozen seven of these addresses in June and three more in July, immobilizing the funds. A seizure warrant now allows federal agents to take custody of the value by having Tether burn the frozen tokens and issue replacements to an FBI-controlled wallet.
This action underscores the growing collaboration between U.S. law enforcement and stablecoin issuers like Tether in tracking and restraining assets linked to sanctions evasion. Tether reported that it has assisted law enforcement in freezing over $5 billion in assets tied to illicit activities and has worked with hundreds of agencies globally. While this specific case involves Iran, it demonstrates how stablecoins can become crucial points for enforcement once illicit funds are identified on-chain.
This is an AI-assisted summary. Original reporting by CryptoSlate.
Read the originalRelated stories
SEC Official Supports Clarity Act, Pushes For Rules
An SEC commissioner endorsed a proposed crypto bill but emphasized the agency's ongoing efforts to establish regulations regardless of its passage.
DOJ Seizes Scam Marketplace, Restrains $52M Crypto
US authorities dismantled a crypto-funded scam marketplace, seizing $52 million in digital assets and targeting international fraud networks.
Thailand Proposes Stablecoin Transfer Restrictions
Thailand's SEC is consulting on rules that would limit stablecoin transfers to only accounts owned by the same user, aiming to curb illicit activity.