US Senate Unveils Widespread Use of Tether's USDT by Iranian Regime
A Senate investigation has uncovered widespread use of Tether's stablecoin USDT by the Iranian regime to evade international sanctions. According to the inquiry led by Sen. Richard Blumenthal, hundreds of millions of dollars in USDT have flowed through wallets connected to Iranian oil transactions, the country's central bank, and entities aligned with Iran's Revolutionary Guard Corps.
The investigation draws on blockchain analysis and reporting from The Wall Street Journal and Fortune, which documented USDT transfers tied to illegal Iranian oil sales and support for IRGC-linked groups. The paper trail reveals that Iran's Central Bank has accumulated at least $507 million in USDT to keep its economy functioning under heavy financial restrictions.
The US Senate Permanent Subcommittee on Investigations has been probing Tether's role in Iranian and Russian shadow banking networks since June 2026, when Sen. Blumenthal sent a formal records demand to the company seeking documentation about USDT's involvement.