
Iran seeks $12B thaw in sanctions standoff
Iran is seeking the release of $12 billion in frozen assets as a precondition for advancing negotiations with the US, a demand that has stalled progress toward a broader sanctions agreement.
The funds form part of an estimated $24 billion held primarily in Qatari accounts, with Tehran proposing controlled or indirect distribution channels to address US concerns over the ultimate use of the money.
Washington has rejected any upfront asset release or sanctions relief, maintaining that no funds will be unlocked until a formal agreement has been signed and implemented.
Iran’s frozen assets abroad are estimated to exceed $100 billion, with the tranche under discussion viewed by Iranian officials as among the most accessible due to its connection to past energy trade revenues.
A similar arrangement in 2023 allowed Iran to access about $6 billion in frozen funds through a controlled mechanism as part of a prisoner exchange deal, although that agreement attracted significant political criticism in the US and has made a repeat arrangement more difficult.
The diplomatic deadlock has continued to influence oil markets, where reports of negotiation progress have generally pressured crude prices lower on expectations of increased Iranian exports, while signs of an impasse have supported prices amid supply concerns.
Separately, the US recently sanctioned Iran’s largest cryptocurrency exchange, Nobitex, freezing more than $1 billion in digital assets and signalling increasing regulatory capability to trace and seize crypto linked to sanctioned entities, while analysts expect any breakthrough in negotiations to have a greater impact on oil markets than on digital assets.