The United States is exploring the possibility of utilizing frozen Iranian assets to fund reconstruction efforts and compensate Gulf nations impacted by Iranian military strikes, Reuters reported.

According to the report, US Treasury Secretary Scott Bessent has directed relevant agencies to conduct a comprehensive assessment of the damages sustained by neighboring countries due to Iranian attacks.

This evaluation is expected to play a crucial role in potentially establishing a future compensation or reconstruction fund.

In response, Tehran has demanded the immediate release of its frozen assets as a prerequisite for any potential agreement with Washington.

Iran’s Deputy Foreign Minister Kazem Gharibabadi stated that at least 50% of Iran's blocked assets must be unfrozen immediately under the framework of any prospective accord.

Meanwhile, Mohsen Rezaee, an adviser to Iran’s Supreme Leader, stated in an interview with CNN that any successful deal with Washington hinges on the release of $24 billion in Iranian assets currently blocked under US sanctions.

The report further highlighted that Tehran maintains its stance that de-escalation is impossible unless Israel halts its military operations in Lebanon.

On the other hand, Washington is seeking crucial amendments to the draft agreement, specifically regarding maritime security in the Strait of Hormuz and the future of Iran's highly enriched uranium.

Due to these deep-seated disagreements on key issues, a final agreement remains uncertain.