Tether Freezes $550M in Iran-Linked USDT Amid Senate Investigation

Tether has reported that it helped authorities freeze nearly $550 million worth of USDT linked to Iran in 2026. The company claims this is part of a broader effort with international law enforcement to identify and freeze illicit funds, resulting in more than $4.9 billion in assets being frozen globally.

Tether's CEO Paolo Ardoino emphasized that the company has consistently demonstrated USDT does not serve as a 'haven' for sanctioned entities or criminal networks. He pointed to cooperation with agencies such as the DOJ, FBI, Secret Service, HSI, and OFAC in tracing, freezing, and recovering assets.

The Senate Permanent Subcommittee on Investigations released a report alleging that USDT is frequently used in Iran-related sanctions evasion networks. The investigators found that 84% of 846 crypto wallets sanctioned for ties to Iran had transacted exclusively or nearly exclusively in USDT.