U.S. Seizes $61 Million in Iranian Oil Crypto

The U.S. Attorney's Office for the Southern District of New York filed a civil forfeiture complaint to seize $61 million in cryptocurrency. The government alleges these funds are proceeds from the black-market sale of sanctioned Iranian crude oil and petroleum products to buyers in China.

According to the complaint, the Government of Iran utilized a network of cryptocurrency actors to launder more than $1.5 billion. This network included Chinese companies Blessed Trust and Hexa Whale, which allegedly used accounts on the Binance exchange to funnel money to the Iranian military and the Islamic Revolutionary Guard Corps. The U.S. claims these funds were intended to finance hostile military actions and terrorist activities.

Tether Ltd. will facilitate the seizure by burning the tokens in the target addresses and issuing replacements to the U.S. government. Binance stated it is cooperating with law enforcement and maintains a policy of zero tolerance for sanctions violations.