US Treasury Secretary Scott Bessent announced that sanctions were imposed on multiple cryptocurrency wallets linked to Iran. This decision, taken in the shadow of the ongoing ceasefire process in the Middle East, is seen as an extension of the US strategy to increase pressure in the country. Scott Bessent is known as a name who has worked in the field of finance and economic policies for many years and will take office as the Secretary of the Treasury in 2023.
Tether’s decision and its reasons
One day before this development, stablecoin company Tether froze a total of $ 344 million USDT in two wallets detected by US authorities. In the statement made by the company, it was stated that the application was carried out in coordination with the US Office of Foreign Assets Control (OFAC) and law enforcement units. It was also confirmed by anonymous sources in the US press and CNN that the funds in the frozen wallets were related to Iran.
Bessent said, “We will monitor step by step the money that the Tehran administration is trying to take out of the country and target all financial networks connected to the regime,” and emphasized that the USA is determined in its sanctions policy.
Overcoming the embargo with cryptocurrencies
In recent years, Iran has made significant use of cryptocurrencies in an attempt to evade economic sanctions imposed by the United States and its allies. Especially in the country that ranks high in Bitcoin mining, these digital assets have become one of the integral parts of economic circulation.
In a Financial Times report published in recent weeks, it was revealed that Iran collected the tolls from oil tankers passing through the Strait of Hormuz with Bitcoin. Thus, the country is trying to develop ways to trade with crypto money instead of traditional payments made in dollars.
Details of frozen wallets and Iran’s reserve
According to last year’s estimates by blockchain analysis company Chainalysis, the total size of cryptocurrency assets in Iran reached up to 7.8 billion dollars. A significant part of this portfolio is controlled by the Iranian Revolutionary Guard Corps. The report emphasizes that this institution has gained experience in transferring millions of dollars of crypto money between private wallets.
It was revealed that the two Tron wallets frozen by Tether had made frequent transactions in the past years. One of the accounts held USDT worth 213 million and the other held $131 million. Both addresses were blacklisted at the smart contract level.
According to experts, these steps will further restrict Iran’s access to the global financial system. However, it is predicted that the country’s tendency to develop new cryptocurrency-based methods to circumvent sanctions will continue.
