US May Seize $1B in Iran-Linked Crypto, Bessent Says
US Treasury Secretary Scott Bessent said authorities may seize about $1 billion in Iran-linked crypto during the week. Officials have identified where the assets are held and are working to isolate them, but Bessent did not confirm they had been taken into government custody or clarify whether the figure includes previously reported freezes. He also did not specify whether exchanges or stablecoin issuers are involved.
The possible Iran-linked crypto seizure follows earlier US actions against exchanges accused of facilitating transfers to Iran’s Islamic Revolutionary Guard Corps (IRGC). Bessent said in April that authorities had seized $500 million in Iran-linked crypto. Tether reported freezing about $550 million in Iran-linked USDT in 2026, including $344 million in April. A separate US forfeiture case involves $61.2 million in USDT frozen in 2025.
The campaign also includes broader restrictions: on Oct. 8, the US Treasury sanctioned 17 vessels accused of transporting Iranian oil and petroleum products. Chainalysis estimated that Iran’s crypto ecosystem handled more than $7.78 billion in activity in 2025, with addresses linked to the IRGC receiving more than $3 billion. These estimates reflect identified addresses and may not capture all activity.
The developments point to continued sanctions scrutiny of crypto wallets, stablecoins and intermediaries, rather than a broad restriction on crypto. The immediate impact on USDT may be limited unless authorities expand enforcement or the targeted assets affect major platforms or liquidity.
Neutral
The expected direct price impact on USDT is neutral. The report concerns the possible seizure or freezing of specific Iran-linked assets, not a broad change to USDT’s peg, reserves or redemption arrangements. The figures cited span different actions and periods, and Bessent has not confirmed that the proposed $1 billion has been seized or clarified whether it overlaps with previous freezes.
In the short term, renewed enforcement could prompt traders to monitor USDT issuer disclosures, wallet restrictions and exchange access. Such headlines can create brief uncertainty or localized liquidity effects for affected addresses, but there is no evidence here of a market-wide disruption to USDT trading or its dollar peg. Over the longer term, continued sanctions enforcement may increase compliance costs and scrutiny for stablecoin issuers and intermediaries. Unless it materially affects USDT’s backing, redemption or broad availability, however, that pressure alone is unlikely to determine the token’s price, which is designed to remain near one US dollar.