U.S. Senate report says 84% of sanctioned Iran-linked wallets transacted in USDT

A report from Democratic members of the U.S. Senate Permanent Subcommittee on Investigations examined 846 crypto wallets sanctioned by the United States and Israel over links to Iran and found that 84% of them used USDT either entirely or almost entirely for transactions. The report said USDT has become an important payment tool for Iran to evade sanctions and support what it described as a "shadow banking system." It also criticized Tether for not freezing some sanctioned wallets quickly enough. The subcommittee has submitted the report to the U.S. Department of Justice and the Treasury Department. Tether did not respond to a request for comment from The Wall Street Journal, though it had previously cooperated with law enforcement to freeze some wallets tied to Iran.