Role Of Tether's USDT Venezuela And Iran Highlights Duality Of Stablecoins
Tether's USDT serves citizens in Venezuela and Iran as a hedge against inflation while also being used by sanctioned entities to evade restrictions.Summary
Recent political and economic turmoil in Venezuela and Iran has underscored the dual nature of stablecoins like Tether's USDT. In both nations, citizens facing hyperinflation and economic collapse are using USDT to preserve wealth and conduct daily transactions, often bypassing failing local banking systems. For instance, in Venezuela, USDT is used for everyday payments, and the state oil company reportedly accepts 80% of its revenue in the stablecoin to circumvent sanctions. Conversely, sanctioned entities in Iran, such as the Islamic Revolutionary Guard Corps (IRGC), have allegedly used stablecoins, facilitated by front companies like Zedcex and Zedxion, to move over $1 billion to evade international restrictions. Tether is actively combating illicit use by cooperating with governments to blacklist wallets, having frozen approximately $3.3 billion in funds between 2023 and late 2025, primarily Tron-based USDT.
(Source：Cointelegraph)