Tether Freezes $131M in USDT Linked to Iran's Central Bank

The U.S. Treasury added four crypto wallets linked to Iran's central bank to its sanctions list, leading Tether to freeze $131 million in USDT. The move targets TRON-based addresses that held over $165 million, preventing those specific funds from being transferred or redeemed.

The action follows OFAC's June sanctions on Nobitex and other Iranian exchanges accused of helping the central bank move in and out of stablecoins.

Chainalysis reported that the four addresses received funds from an institutional liquidity provider and an Asia-based payment processor. The freeze, however, does not amount to a seizure as the funds remain under the control of the wallets belonging to Iran's central bank.