US Seeks $61M in Tether Funds Linked to Sanctioned Iranian Oil Sales

The US Department of Justice (DOJ) is seeking to seize over $61 million in Tether's USDT stablecoin, alleging it was generated from black-market sales of sanctioned Iranian oil.

The funds were allegedly used to finance Iran's government and military, including the Islamic Revolutionary Guard Corps (IRGC).

According to the DOJ, Blessed Trust and Hexa Whale, both incorporated in Hong Kong, used Binance accounts to move proceeds from oil sold to buyers in China.

The network of related addresses received and distributed over $1.5 billion, including transfers to IRGC-linked money-transfer businesses, cryptocurrency addresses, and an Iranian exchange.

Binance spokesperson said the company did not permit transactions with sanctioned individuals and would continue cooperating with law enforcement, investigating, restricting or freezing accounts where appropriate.