US Sanctions 134 ISIS-K Crypto Wallets; Tether Freezes Funds

ISIS-K, or Islamic State Khorasan Province, is an Islamic State affiliate active in Afghanistan and Pakistan. The United States designated it a specially designated terrorist organization as early as September 2015. The investigation into its cryptocurrency fundraising channels highlights both the traceability of transactions on public blockchains and the ability of centralized stablecoin issuers to freeze assets directly in support of sanctions.

On July 1, 2026, the US Treasury Department’s Office of Foreign Assets Control added 134 ISIS-K wallet addresses to its sanctions list, comprising 131 Tron addresses and three Monero addresses. Chainalysis said the 131 Tron addresses had received more than $1.4 million and sent out more than $880,000 since 2023. Tether froze the USDT balances held at those addresses the same day.