The US Treasury is actively tracking and freezing digital assets linked to Iran as part of the Operation Economic Outcast initiative, launched on August 24, 2026. Treasury Secretary Scott Bessent stated that authorities have identified the locations of these funds, with total seizure targets estimated between hundreds of millions of dollars and approximately $1 billion.
Tether has emerged as a key participant in these enforcement efforts, having frozen approximately $550 million in USDT associated with Iranian addresses throughout 2026. Specifically, the company blocked $344 million in April 2026 and over $130 million in July 2026, the latter being linked to the Central Bank of Iran.
The Treasury has also targeted digital asset platforms, sanctioning multiple Iran-linked exchanges since June 2026. On September 17, 2026, the Office of Foreign Assets Control designated BitBank, an exchange controlled by Babak Zanjani, for facilitating Bitcoin payments for the Iranian regime, effectively barring it from the US financial system.
While Secretary Bessent indicated on October 9, 2026, that the US would likely seize $1 billion in Iranian-linked crypto assets that week, the final confirmation of the full seizure remains pending. The Treasury continues to coordinate with stablecoin issuers and monitor blockchain ledgers to enforce sanctions.
