Iran’s Sanctioned Crypto Wallets Ran on Tether, Senate Probe Finds
A U.S. Senate investigation has found that Iran’s government and its allies used Tether, the world’s largest stablecoin, to move money and dodge international sanctions.
A U.S. Senate investigation has found that Iran's government and its allies make wide use of Tether, the world's largest stablecoin, to move money and avoid international sanctions, according to two reports on the probe [253388][252246].
A stablecoin is a cryptocurrency designed to keep a steady value, usually tied to the U.S. dollar. Tether is the most widely traded example [253388].
Sanctioned cryptocurrency wallets tied to Iran used Tether's USDT stablecoin for almost all their transactions, the investigation by U.S. Senate Democrats found [252246]. The findings raise concerns that the world's largest stablecoin is being used to bypass financial restrictions [252246].
The report adds to growing concerns in Washington that digital currencies can weaken the effect of sanctions meant to pressure Iran [253388].
Separately, the likely next chairman of the House Intelligence Committee said he plans to investigate what he called "nakedly corrupt dealings" [253388].