$61M Crypto Seizure Targets Alleged Iran Oil Scheme

US authorities are seeking to seize $61 million in cryptocurrency allegedly linked to black-market Iranian oil sales. The funds, which are being targeted for forfeiture, were laundered through a network of Chinese companies and Binance trading accounts, according to the US government.

The civil complaint alleges that Blessed Trust and Hexa Whale, two Chinese companies, presented themselves as wealth management or crypto custody businesses while converting Iranian oil payments into cryptocurrency. They allegedly helped route payments through interconnected wallets identified as 'Entity A', which received and distributed over $1.5 billion in illicit oil money.

The funds were sent to IRGC-linked businesses, cryptocurrency addresses, and an Iranian exchange. The US government claims that this laundered money was intended to benefit the Iranian military and the terror-designated IRGC.

This move is part of a broader crackdown on Iran's cryptocurrency activity. In August, Treasury expanded its authority to sanction participants in Iran's digital asset sector, and in July, sanctions prompted Tether to freeze over $131 million across four Tron wallets.