Tether Freezes $550M in Iran-Linked USDT Amid Wider Sanctions Crackdown

Tether has frozen nearly $550 million in USDT linked to Iran, as part of a wider U.S. campaign targeting Iranian financial networks and sanctions evasion.

The freeze is the result of a Senate investigation into the use of USDT across hundreds of Iranian-linked wallets, which found that 84% had transacted in USDT.

The largest freeze occurred in April 2026, involving over $344 million in USDT across two addresses, and was followed by another major enforcement action in July, involving more than $130 million across four wallets.

Tether has supported law-enforcement freezes for years, and its ability to blacklist addresses has existed much longer. However, the company's cooperation with authorities has expanded as USDT adoption has grown worldwide.