Story perspectives

Senate Report Finds USDT Moved $7.8B Despite Sanctions

By Drooid · Sep 29, 2026, 4:03 AM UTC · How we work

Summary

Tether Enables Iran Transfers

U.S. Senate investigators said Tether’s USDT let Iranian networks move billions despite sanctions.
The Senate report found 87% of 757 Iran-linked terror wallets used USDT, moving $7.8 billion in the past year.
Sen. Richard Blumenthal mailed letters to Todd Blanche and Treasury Secretary Scott Bessent urging a Tether compliance probe.
Tether froze about $550 million in Iran-linked USDT in 2026, including $344 million in April and $130 million in July.

Summary

Tether Supports Global Probes

Tether aided over 2,900 investigations worldwide in total.
It assisted more than 1,600 investigations with U.S. law-enforcement agencies.
Tether froze about 22 million USDT across more than 640 addresses for cases referred by Israel’s counter-terror financing bureau.
It can blacklist wallets and reissue USDT, moving tokens from frozen to new addresses.

History

Historical Context

After the United States withdrew from the JCPOA in May 2018 and reinstated comprehensive sanctions—building on earlier bans such as the 2006 OFAC designation of Bank Saderat Iran—Iranian actors turned to crypto to evade restrictions. Senate investigators are probing crypto use by Iranian networks, prompting Senator Richard Blumenthal to demand a compliance probe.

1 of 3

Tether Enables Iran Transfers

U.S. Senate investigators said Tether’s USDT let Iranian networks move billions despite sanctions.
The Senate report found 87% of 757 Iran-linked terror wallets used USDT, moving $7.8 billion in the past year.
Sen. Richard Blumenthal mailed letters to Todd Blanche and Treasury Secretary Scott Bessent urging a Tether compliance probe.
Tether froze about $550 million in Iran-linked USDT in 2026, including $344 million in April and $130 million in July.

1 / 3