A Senate report reveals Iran uses Tether stablecoins to evade sanctions and fund regional proxies including Hamas, Hezbollah, and the Houthis, with 84% of 846 sanctioned wallets transacting primarily in Tether. The report calls for stablecoin issuers to be subject to U.S. sanctions law, while discussions also highlight institutional adoption through banking partnerships like Citibank.
Discussion of stablecoins gaining institutional adoption and infrastructure maturity. Citibank now accepts stablecoins on Base, while Circle launched Arc, a blockchain for financial markets with backing from major institutions including BlackRock and Visa. A trader highlighted how decentralized projects like Snek benefit from mature liquidity infrastructure and community credibility.