Some Iranian crypto wallet owners might not even know their money is gone yet. On Friday, Treasury Secretary Scott Bessent revealed that the U.S. has quietly seized about $1 billion in digital assets linked to Iranโnearly three times more than earlier estimates from just a few weeks ago.
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These seizures are part of a campaign called Operation Economic Fury, launched in March 2025. It targets Iranian assets on multiple frontsโfreezing bank accounts, confiscating properties with European allies, and going after cryptocurrency holdings. Bessent spoke about the effort at the Reagan National Economic Forum, describing it as part of a broader push to cut off Iran financially. The $1 billion figure is roughly double the $500 million the Treasury Department announced in late April, and far above the $344 million made public earlier that same month. The numbers have been climbing fast.
A Regime Under Pressure
According to Bessent, Iran’s financial situation has become increasingly dire. He said inflation inside the country has likely surpassed 200%, food vouchers are being handed out, the internet has been shut down, and between 40% and 50% of Iranian troops aren’t getting paid.
๐ด๐บ U.S. announces it has seized $1 billion in Iranian cryptocurrency assets Treasury Secretary Scott Bessent said Friday that U.S. authorities have seized approximately $1 billion in Iranian digital assets as part of sanctions enforcement against Tehran. ๏ฟผ The figureโฆ โ Drop Site (@DropSiteNews) May 29, 2026
Before the U.S. stepped in, Bessent said the regime had been pulling in $400 to $500 million a month and splitting it among about 80 leaders. That flow of money has since been disrupted. The treasury secretary also touched on ongoing talks with Iran, saying they’re complicated by a fractured leadership structure after strikes by the U.S. and Israel on senior regime figures. The military campaign has been running for five and a half to six weeks, he said.
Iran’s Bitcoin Gambit
Even as its assets are being seized abroad, Iran has been exploring ways to use cryptocurrency to generate new income. Reports say the country has been considering a platform called Hormuz Safe, which would sell digital marine insurance paid in Bitcoin to ships passing through the Strait of Hormuz.
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According to a state document cited by Fars News Agency, an outlet linked to the Islamic Revolutionary Guard Corps, the scheme could bring in over $10 billion. Whether that plan takes off remains unclear. What is clear is that Iran is losing ground fastโits cash pipelines cut, its digital wallets emptied, and its leadership scrambling to find new ways to keep money flowing in.
Featured image from Unsplash, chart from TradingView
Frequently Asked Questions
Here is a list of FAQs about the US seizure of nearly 1 billion in Iranian cryptocurrency written in a natural tone with clear simple answers
BeginnerLevel Questions
1 Wait the US seized 1 billion in crypto from Iran How is that possible
Yes US law enforcement traced digital wallets belonging to Irans Islamic Revolutionary Guard Corps and the Quds Force Those groups are under US sanctions so any assets they control can be legally seized The government got a court order to take control of the private keys and move the funds
2 Is this the same as hacking their account
No its not hacking Its a legal seizure like taking cash or a bank account The US used court orders and blockchain analysis to legally take control of the wallets
3 Was this Bitcoin or some other cryptocurrency
The seizure involved Tether and other stablecoins not Bitcoin Stablecoins are designed to be worth 1 each which makes them easier to trace and freeze than more anonymous coins
4 Why did Iran use cryptocurrency in the first place
Iran uses crypto to try to bypass international banking sanctions Since most global banks wont do business with Iran they used crypto to move money for things like buying weapons or paying proxies
5 Does this mean all crypto is risky for normal people
Not really This was a targeted action against a sanctioned terrorist group For regular users crypto is still secure The key lesson is that public blockchains are transparentbad actors can be tracked
Advanced Deeper Questions
6 How did the US actually seize a decentralized asset like crypto
They didnt hack the blockchain They identified the specific wallets controlled by the IRGC Then they obtained a seizure warrant from a federal judge With that warrant they legally took control of the private keys from the exchanges or custodians that held those keys
7 Does this set a precedent for seizing other countries crypto
Yes but only for entities under US sanctions It shows that the US can and will use blockchain analytics to enforce sanctions If you are a sanctioned entity your crypto is not safe from seizure