Story perspectives

Senate Democrats Cite USDT’s Role in Iran Financing

By Drooid · Sep 29, 2026, 3:04 PM UTC · How we work

Summary

Story summary

U.S. Senate Democrats released a report that Tether’s USDT fuels Iran’s shadow banking.
The September 28 study of 846 sanctioned wallets found 84% used USDT almost exclusively.
In 757 wallets linked to Iranian terrorism financing, 87% used USDT for 80% of value.
Tether froze nearly $550 million in Iran-linked USDT during 2026.
Senate staff sent the report to Treasury and Justice for a compliance investigation.

History

Historical Context

On 9 June 2010 UN Security Council adopted Resolution 1929, passing 12-2, to tighten sanctions on Iran’s nuclear program and freeze assets of Revolutionary Guard Corps and Iranian shipping lines. Renewals like Resolution 2105 (2013) kept it until lifted by Resolution 2231 in July 2015. Democrats say Tether’s USDT let sanctioned wallets bypass those controls, urging a return to 2010 enforcement model.

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Story summary

U.S. Senate Democrats released a report that Tether’s USDT fuels Iran’s shadow banking.
The September 28 study of 846 sanctioned wallets found 84% used USDT almost exclusively.
In 757 wallets linked to Iranian terrorism financing, 87% used USDT for 80% of value.
Tether froze nearly $550 million in Iran-linked USDT during 2026.
Senate staff sent the report to Treasury and Justice for a compliance investigation.

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