Nuclear negotiations between Washington and Tehran have run into a serious obstacle, with Iran pushing hard for the immediate release of billions in frozen assets before taking any concrete steps under a potential deal, a demand that the Trump administration is reluctant to agree.
Trump and his administration have been reluctant to approve large-scale fund releases without significant Iranian concessions, particularly regarding Iran’s enriched uranium stockpile, nuclear activities, and the reopening of the Strait of Hormuz.
According to a Jerusalem Post report, Iranian negotiators want access to “liquid cash” from frozen funds the moment both sides sign an initial memorandum of understanding , not later, not conditionally, but right away.
American officials’ position is straightforward: sanctions relief only comes after Iran delivers verifiable concessions on its nuclear program, not before.
The concern in Washington goes beyond optics. Releasing funds early would hand Tehran a financial lifeline while stripping the US of one of its most powerful bargaining chips, the economic pressure it has spent years building up.
Senior officials have made clear to regional mediators that no significant money moves until Iran makes real, measurable moves first, particularly on its nuclear activities and security arrangements around the Strait of Hormuz. There’s also a political dimension.
Trump has been explicit with his advisers that he won’t sign anything that resembles Obama’s 2015 deal, which unfroze $1.7 billion for Iran. Iran is now reportedly seeking around $12 billion, and Trump has no intention of being seen handing over what he’s previously mocked as “pallets of cash.”
Advisers have explored arrangements where a third country, such as Qatar, would release funds to Iran, keeping the US at arm’s length from any direct payment.
Mediators have floated compromise options, including a humanitarian fund of several billion dollars restricted to purchases of food, medicine, and agricultural goods. But so far, neither side has budged enough to break the deadlock.
Despite the stalemate, Trump told reporters at the White House on Wednesday that talks were going “very well” and that a deal could potentially be finalized by the weekend, though he acknowledged nothing was certain. “It might not happen,” he said. “Who knows? But if it happens, it could happen over the weekend.” He also stated that any agreement would include the US taking possession of Iran’s stockpile of highly enriched uranium, adding, “I want to get it. We will go get it.”
Trump also weighed in on the broader regional picture, saying that the Strait of Hormuz would reopen swiftly under any deal and that the US had, for the first time, held direct talks with Hezbollah, with both sides agreeing not to strike each other.
