The US Senate Permanent Subcommittee on Investigations is examining the use of USDT by the Iranian regime to bypass international sanctions. Led by Senator Richard Blumenthal, the probe focuses on the role of Tether in facilitating financial transactions for the Central Bank of Iran and groups linked to the Revolutionary Guard Corps.
According to the investigation, the Central Bank of Iran accumulated at least $507 million in USDT. In response to these findings, the US Department of Justice filed a civil forfeiture complaint on September 14, 2026, seeking to seize $61.2 million in USDT linked to illicit oil sales.
The government initiative Operation Economic Fury has resulted in the freezing or sanctioning of nearly $1 billion in Iran-linked digital assets since April 2026. Tether has participated by freezing $344 million in April 2026 and an additional $131 million in July 2026.
The Senate inquiry follows the June 2, 2026, sanctioning of four Iranian cryptocurrency exchanges: Nobitex, Wallex, Bitpin, and Ramzinex. On June 4, 2026, Senator Blumenthal formally requested documentation from Tether regarding the company's role in Iranian and Russian shadow banking networks.
