$61M Crypto Seized as US Targets Iranian Oil Sales

The US has filed a civil forfeiture lawsuit against $61 million in cryptocurrencies linked to Iranian oil sales, alleging that they constitute proceeds from black market transactions. According to American authorities, more than 1.5 billion USD from illegal oil sales was laundered through a network of crypto actors in China and elsewhere, with the ultimate destination being the Iranian government and military entities.

The lawsuit targets two Chinese companies, Blessed Trust and Hexa Whale, as well as accounts on Binance. Tether is called upon to 'burn' the disputed tokens and issue new ones of equal value on behalf of the US government.

Blessed Trust presents itself as a wealth management or digital asset custody firm, but according to the complaint, it had received and transferred proceeds from illegal activities and provided 'on-ramp' services. Hexa Whale also provided similar services, collaborating with Blessed Trust and its affiliated companies. Clients of both companies include oil and petroleum products sector companies in China.