US freezes $130 million in Iran-linked digital assets

WASHINGTON: The United States has frozen more than $130 million worth of digital assets allegedly linked to Iran’s central bank, marking the latest escalation in Washington’s campaign to tighten financial pressure on Tehran through cryptocurrency-related sanctions.

US Treasury Secretary Scott Bessent announced the move in a post on X, saying the Treasury Department is stepping up efforts to restrict Iran’s access to funds that US authorities claim are generated through illicit financial networks. According to Bessent, the action is part of a broader strategy to prevent the alleged use of digital assets for financing activities targeted by American sanctions.

The US Treasury said the sanctions were imposed by its Office of Foreign Assets Control (OFAC), which oversees the enforcement of US economic and trade sanctions. The department added that multiple cryptocurrency wallets allegedly connected to Iran’s central bank had been designated, resulting in the freezing of digital assets valued at more than $130 million.

In his statement, Bessent said Washington remains committed to disrupting what it describes as Iran’s illicit financial operations, including the alleged misuse of cryptocurrency. He stressed that the Treasury Department would continue identifying and blocking financial channels used to access funds outside the reach of existing sanctions.

The Treasury chief further stated that US authorities would aggressively pursue suspected illicit financial flows and deny the Iranian government access to revenues allegedly generated through unlawful schemes.

The announcement comes amid increasing US efforts to expand sanctions enforcement beyond conventional banking systems. Digital assets have become a growing focus for regulators, who argue that cryptocurrencies can be used to bypass international financial restrictions.

The latest action is part of a broader sanctions campaign launched by the Trump administration, which has recently targeted Iranian individuals, companies and shipping networks in an effort to increase economic pressure on Tehran.

Washington says the measures are intended to curb Iran’s financial capabilities at a time of heightened regional tensions. Alongside diplomatic and military initiatives, the United States has intensified economic restrictions, with cryptocurrency transactions emerging as a key area of enforcement.

Iran has repeatedly rejected US sanctions as unlawful and has consistently denied allegations that it uses illicit financial networks to evade international restrictions. However, the latest asset freeze signals that digital currencies are becoming an increasingly important front in the long-running economic confrontation between Washington and Tehran.