The U.S. Attorney's Office for the Southern District of New York has filed a civil forfeiture complaint against $61 million in cryptocurrency, alleging that these funds are proceeds from black-market sales of Iranian crude oil.
The complaint claims that Iran utilized a network of cryptocurrency actors, particularly in China, to launder over $1.5 billion in oil money, which was intended to support the Iranian military and the Islamic Revolutionary Guard Corps. Deputy U.S. Attorney Sean S.
Buckley emphasized that the seizure aims to prevent these funds from facilitating hostile military actions against the U.S. and its allies. The complaint specifically names two Chinese companies, Blessed Trust and Hexa Whale, which allegedly used accounts at the Binance crypto exchange to launder these proceeds.
Binance has stated its commitment to preventing sanctions violations and is cooperating with law enforcement. The complaint also notes that these companies have utilized the U.S. financial system to facilitate their operations. Additionally, Tether Ltd. plans to 'burn' the cryptocurrency tokens held in the targeted addresses and issue replacements to the U.S. government.
This case reflects broader U.S. efforts to enforce sanctions against Iranian oil sales, particularly as China remains a significant buyer of Iranian oil, accounting for over 80% of its shipments in 2025