Fact Check: Did Biden administration unfreeze $16B in Iranian assets?

WASHINGTON, DC: Amid escalating military tensions between Israel and Iran, and US airstrikes on Iranian nuclear sites authorized by President Donald Trump in June 2025, a viral claim swept social media that the former President Joe Biden administration had “unfrozen” $16 billion for Iran, allegedly fueling its military capabilities.

Before jumping to conclusions about the accuracy of this claim, it’s important to note another significant fact: in August 2023, the Biden administration facilitated Iran’s access to $6 billion in frozen assets as part of a high-profile prisoner exchange deal. This report has sparked confusion online, so let’s continue reading to know the facts.

Claim: Joe Biden unfroze $16 billion in funds for Iran

A post on X by @brilynhollyhand claimed that the Joe Biden administration had unfrozen $16 billion in funds for Iran, a message that quickly gained traction on social media. Some users suggested that this money contributed to Iran's current military strength.

The X post stated, "Hillary Clinton gave Iran uranium. Barack Obama handed them $1.7 BILLION. Joe Biden unfroze over $16 BILLION for the regime. Don't you DARE blame this on President Trump." At the time of writing, the post had amassed more than 83.8K views.

Similar assertions appeared elsewhere on X and on Facebook, where a post alleged that Biden’s White House released $6 billion of Iranian funds and renewed a sanctions waiver that allowed Iran access to approximately $10 billion in Iraqi funds.

According to the Facebook post, "Biden's Policies allowed Iran to access $16 Billion in frozen assets & rake in $50 billion in oil from 'relaxed sanctions'. In August 2023, the Biden administration facilitated the release of $6 billion in frozen Iranian assets held in South Korea. In March 2024, the administration reissued a sanctions waiver allowing Iran access to about $10 billion in frozen funds from Iraq."

The viral claim contains a mixture of facts and fiction

According to Snopes, the claim that Joe Biden unfroze $16 billion in Iranian assets is partly true and partly false. The reality is more nuanced.

In September 2023, the Biden administration reached an agreement with Iran that resulted in the release of five American citizens detained in Iranian prisons. As part of this deal, the US issued waivers allowing international banks to transfer $6 billion of frozen Iranian funds from South Korea to a restricted account in Qatar.

However, it was clearly stated that these funds could only be used for humanitarian purposes, specifically "transactions for humanitarian goods with vetted third-party, non-Iranian vendors." Officials emphasized, "These are not taxpayer dollars. This is not a payment of any kind. No funds enter Iran ever, nor do any funds get paid to Iranian companies or entities."

Following the Hamas attack on Israel in October 2023, Secretary of State Antony Blinken reiterated, "None of the funds that have now gone to Qatar have actually been spent or accessed in any way by Iran. Indeed, funds from that account are overseen by the Treasury Department, can only be dispensed for humanitarian goods — food, medicine, medical equipment — and never touch Iranian hands. We have strict oversight of the funds, and we retain the right to freeze them."

Why is the claim involving Joe Biden a mixture of fact and fiction?

Some media outlets claim that $10 billion was given to Iran after the Joe Biden administration renewed a sanctions waiver in November 2024.

While the waiver was renewed, the administration did not directly transfer any money to Iran. This waiver system, started in 2018 under Trump, allows Iraq to buy electricity and gas from Iran, with payments held in restricted escrow accounts, not paid directly to Iran.

The November 2024 renewal extended this arrangement with strict limits, allowing access only for humanitarian purposes. A State Department spokesperson called the renewal routine, noting it’s been done 23 times since 2018 under both Trump and Biden.

Online claims often cite the $16 billion figure but ignore these restrictions. Biden’s administration facilitated access to $6 billion transferred to Qatar for a prisoner exchange and about $10 billion in Iraqi payments.

Both amounts remain in restricted accounts with third-party oversight, and the $6 billion was frozen again in October 2023. Though called “unfreezing” funds, the money can only be used for vetted humanitarian purchases. Thus, the claim mixes truth with misinformation.