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A U.S. Senate investigation found 84% of 846 cryptocurrency wallets linked to Iran and sanctioned by the United States and Israel processed all or nearly all transactions in Tether’s USDT, according to The Wall Street Journal.
The WSJ said the U.S. Senate Permanent Subcommittee on Investigations identified USDT as a key payment tool for the Iranian regime and a financing channel for armed groups including Hezbollah. The report also criticized Tether for not freezing sanctioned wallets quickly enough, the newspaper said.