In short
- The Treasury Department approved 134 crypto wallets built for ISIS-K, including 131 on Tron.
- Chainalysis said Tron wallets that have been approved have received more than $1.4 million since 2023.
- The warnings come as Tron founder Justin Sun is still in the battle against Trump’s World Liberty Financial.
The US Treasury Department approved more than 130 cryptocurrency wallet addresses this week linked to ISIS, with many operating on Tron blockchain.
The Treasury Department’s Office of Foreign Assets Control (OFAC) added 134 crypto wallets to existing sanctions against ISIS-K, an affiliate of the Islamic State operating in Afghanistan, Pakistan, and Central Asia. Of those addresses, 131 were on Tron and three on Monero.
Tron’s official addresses have received more than $1.4 million since 2023 and sent $880,000 during that time, according to the blockchain analytics firm. Chainalysis. The company noted that stablecoin issuer Tether has created dry scales that are compatible with all 131 official Tron wallets.
ISIS-K’s media group, al-Azaim Media Foundation, has already solicited cryptocurrency donations through websites and messaging platforms. Most of the newly authorized wallets sent crypto to Syrian exchanges, Chainalysis said.
Tron, which was founded by crypto entrepreneur Justin Sun, has a long history of being used by organizations sanctioned or controlled by the US government. Earlier this year, Tether froze $344 million the price of USDT in Tron wallets that have been identified by government authorities as having links to illegal activities.
Tron’s new ISIS-related sanctions this week come as Sun’s relationship with President Donald Trump’s family—once pleasant—has taken a turn for the worse. Once one of the biggest financial backers of the Trump family’s crypto ambitions, Sun the defendant family crypto platform World Liberty Financial in April, saying that the company illegally suspended its tokens and deprived him of the right to control.
International Freedom has existed ever since an opponent for defamation, accusing Sun of launching a campaign to suppress the brand’s value and tarnishing the company’s reputation after its stock was suspended.
Specially actions On Wednesday, OFAC also ordered two Brazilian citizens and four companies tied to the criminal organization Primeiro Comando da Capital (PCC), saying they used crypto to move more than $30 million in drug sales, made in the United States, back to Brazil.
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