Iran Uses USDT Cryptocurrencies to Bypass US Sanctions and Fund Hezbollah
US Senate investigation reveals how Iran uses USDT cryptocurrency to move billions of dollars outside the banking system and evade sanctions.
TL;DR
- Iran's regime uses dollar-pegged cryptocurrencies (USDT) to move funds outside traditional banking.
- This scheme allows Iran to bypass international sanctions and finance allied groups like Hezbollah.
- The regime has established a parallel financial network using 846 digital wallets, with most transactions in USDT.
- USDT's stability, tied to the dollar, is crucial for Iran under economic restrictions.
- Senators criticize Tether for insufficient action against illicit activities, urging investigations into their compliance.
- The US Treasury has sanctioned Iranian digital platforms like Nobitex and BitBank for processing funds for the Revolutionary Guard.
- Tether claims to have blocked significant assets linked to the Iranian Central Bank and states its transactions are traceable on the blockchain.