U.S. authorities say they have seized nearly $1 billion in cryptocurrency linked to Iran, escalating a sustained campaign to cut off Tehran’s access to digital finance channels. Treasury Secretary Scott Bessent announced the figure while speaking at the Reagan National Economic Forum, saying U.S. investigators have been tracking funds tied to Iran’s overseas networks and targeting financial routes Tehran uses outside the traditional banking system. The effort, Bessent said, is part of a wider financial pressure campaign ordered by President Donald Trump and carried out by the Treasury Department and its Office of Foreign Assets Control (OFAC). What’s been done so far - OFAC has sanctioned more than 1,000 Iran-linked entities as part of the operation and has frozen bank accounts and moved against blockchain wallets associated with Iranian networks. - In April, OFAC designated several crypto wallet addresses tied to Iran’s Islamic Revolutionary Guard Corps (IRGC). Following that action, stablecoin issuer Tether froze about $344 million in USDT across two Tron addresses in coordination with U.S. law enforcement. - Blockchain analytics firm Chainalysis linked those addresses to on-chain patterns associated with known Iranian military wallets; one address reportedly held about $213 million and the other about $131 million. - Earlier reports put the total seized at over $500 million; Bessent’s remarks pushed the reported total close to $1 billion. Why it matters to crypto markets U.S. actions underscore that regulators now view crypto wallets and on-chain flows as integral parts of state-linked financial infrastructure—and therefore legitimate targets for sanctions and seizure. The Tether freeze highlights how centralized service providers can become enforcement chokepoints, and analytics firms like Chainalysis are playing a central role in tracing illicit or sanctioned flows on-chain. Context: Iran’s use of crypto The crackdown comes amid reports that Iran has been experimenting with digital assets to bypass sanctions. In January, Iran’s Ministry of Defense Export Center (Mindex) reportedly began accepting cryptocurrencies — and barter or rial payments — for some military contracts. In April, Iranian officials also reportedly discussed charging transit tolls in Bitcoin for ships passing through the Strait of Hormuz, a proposal that would have raised legal and sanctions risks for shipping firms. Bottom line The Treasury’s latest disclosures signal that Washington will continue to pursue crypto-based revenue streams linked to Tehran, targeting both on-chain accounts and the intermediaries that touch those assets. For the crypto industry, the episode is a reminder that political and enforcement risks can rapidly translate into asset freezes and heightened compliance obligations. Read more AI-generated news on: undefined/news