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Plaintiffs Seek Court Order to Nullify and Reissue 344.1 Million USDT Froze by Tether

According to the filing in the Southern District of New York, the request targets USDT tied to OFAC-sanctioned, IRGC-linked wallets after Tether froze the assets in April.

USDT

Fact Check
The Block's detailed reporting (May 15, 2026) directly confirms every material element of the claim: the SDNY filing (motion case no. 125-mc-00527-MMG, filed May 14, 2026), the ~$344 million USDT amount, the OFAC-sanctioned IRGC-linked wallets, Tether's April 2026 freeze, and the plaintiffs' request to nullify (zero out) and reissue the tokens. CoinCentral provides independent corroboration of the same facts. The claim's specific figure of '344.1 million' is consistent with The Block's 'over $344 million.' The only minor imprecision is the claim's rounding, which does not affect the substance. No conflicting evidence was found.
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Summary

Plaintiffs asked a New York federal court to order Tether to nullify and reissue 344.1 million USDT tied to two OFAC-sanctioned wallets linked to Iran’s Islamic Revolutionary Guard Corps. The motion was filed Thursday in the Southern District of New York after Tether froze the wallets on April 24. The underlying judgments total about $2.42 billion, and the request seeks to redirect the frozen stablecoin assets to help satisfy those unpaid terrorism-related judgments.

Terms & Concepts
  • USDT: Tether’s U.S. dollar-pegged stablecoin, designed to track the value of one dollar.
  • OFAC: The U.S. Office of Foreign Assets Control, which administers and enforces sanctions.