The U.S. Treasury Department's Office of Foreign Assets Control has sanctioned multiple crypto wallets linked to the Central Bank of Iran, freezing over $130 million in digital assets. The move, announced this week, targets funds that officials say were used to bypass economic sanctions. Hours later, Tether froze four TRON wallets holding roughly $131 million in USDT, tied to the same sanctioned entities — including the Islamic Revolutionary Guard Corps and the Central Bank of Iran.
The freeze
OFAC's action freezes more than $130 million in crypto assets. The frozen funds were traced to withdrawals from payment service provider DTC Pay and crypto exchange Bitso. Tether's separate freeze covered four TRON wallets, locking up about $131 million in USDT. The company said the wallets were linked to OFAC-sanctioned entities. This isn't the first time Tether has stepped in — in April, it froze more than $344 million in USDT at the request of U.S. authorities.
Tether's role
Tether's decision to freeze the wallets came after the Treasury's sanctions. The company has a history of cooperating with law enforcement. The wallets in question were tied to the IRGC and the Central Bank of Iran. The frozen USDT represents a significant chunk of the funds the Treasury says Iran was moving through crypto. The U.S. has been tightening the screws on Iran's digital asset activity for months.
The broader crackdown
Last month, the Treasury sanctioned Iran's largest crypto exchange, Nobitex, along with Wallex, Bitpin, and Ramzinex, as part of the Trump administration's 'Economic Fury' campaign. U.S. officials alleged those exchanges helped Iran evade sanctions, process transactions linked to the IRGC, and move funds through digital assets. Treasury claimed Nobitex handled more than half of Iran's crypto inflows in 2025 and helped the Central Bank of Iran access hundreds of millions of dollars in stablecoins.
Meanwhile, the U.S. military has reimposed a naval blockade of Iranian ports after a previous enforcement between April and June. Iran launched drone attacks on Jordan's Al-Azraq military base as part of 'Operation Lightning,' targeting F-18 fighter jet facilities, accommodation buildings, and a large equipment shed. President Donald Trump warned that the U.S. would target bridges and power plants next week unless Iran returns to the negotiating table.
The Treasury's latest sanctions and Tether's freeze are part of a broader push to cut off Iran's access to crypto. With Trump's deadline looming, the next week could bring more military action or a diplomatic shift. For now, the frozen funds sit in limbo — and the exchanges and wallets involved are effectively cut off from the U.S. financial system.
