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World

Iran warns seizing frozen assets sets dangerous precedent

Iran's foreign minister has warned that using another country's frozen assets to pay for future claims could lead to global instability. Abbas Araghchi said on social media that seizing a nation's assets to settle unrelated claims sets an "incendiary precedent." He added that those who benefit from such actions should realize that once confiscation becomes normal, no country's assets are safe. The resulting chaos, he said, would be neither pretty nor peaceful.

Araghchi's comments came after US President Donald Trump said on Thursday that he would use Iranian funds to cover damages to ships in the Strait of Hormuz. Trump did not specify which vessels or what damage, but the remark appeared to threaten the use of Iranian assets held abroad.

Iran has significant frozen assets in several countries, including South Korea and Iraq, which have been blocked due to US sanctions. The Iranian government has repeatedly demanded the release of these funds for humanitarian purposes.

The dispute over frozen assets is part of broader tensions between Iran and the United States. The two countries have been at odds over Iran's nuclear program, its regional influence, and US sanctions. Araghchi's warning highlights the potential for such financial disputes to escalate into wider conflict.

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