On Monday, Donald Trump addressed one of the most contentious aspects of the peace deal with Iran, vehemently denying claims that Washington agreed to pay $300 million to Tehran as part of the memorandum aimed at ending over three months of conflict in the Persian Gulf.
The former president took to his social media platform, Truth Social, to dismiss reports from Iranian media, labeling them as "fake news" propagated by Democrats.
"The story that the U.S. is paying $300 million to Iran is fake news, spread by the Democrats," Trump wrote on Truth Social, asserting that "Iran has agreed never to have a nuclear weapon."
White House Supports Trump's Stance
Vice President JD Vance echoed the president's position during interviews with Fox and NBC, stating firmly, "The agreement specifies that they will not receive a single cent of American money."
Vance emphasized that any future economic benefits for Tehran are contingent upon adherence to verifiable commitments regarding its nuclear program.
"If they demonstrate a verifiable commitment, meaning a genuine inspection regime, then they can benefit from the agreement," he declared.
The vice president further clarified that a "fundamental" component of the memorandum involves assistance from both Washington and the International Atomic Energy Agency to help Iran "destroy its stockpiles of highly enriched uranium," which necessitates the return of nuclear inspectors to the country.
Controversy Over Alleged Payment
The rumors of the supposed payment surfaced amid negotiations that included discussions about easing sanctions and granting Iran access to over $100 billion in frozen assets held in countries like Qatar, India, Iraq, Luxembourg, and Japan.
Though Trump denied the direct payment of $300 million, he did not specify whether the agreement includes a mechanism for unlocking those assets or the precise extent of any potential sanctions relief.
The denial came just hours after Trump announced at the G7 summit in Évian-les-Bains that the understanding had been finalized.
"The deal is already signed, and the strait is partially open," he stated to reporters.
Agreement Details and Unanswered Questions
The memorandum, which the Trump Administration promised to release in full within 24 to 48 hours, outlines the reopening of the Strait of Hormuz—blocked by Iran for three months—and an extension of the ceasefire by 60 days to address unresolved issues, including the future of Iran’s nuclear program.
The agreement between the United States and Iran follows a war that began on February 28, 2026, with Operation Epic Fury, a joint aerial assault on Iranian nuclear and military facilities that led to the strait's blockade and a global energy crisis.
From the Iranian perspective, Deputy Foreign Minister Kazem Gharibabadi made it clear that distrust persists:
"This memorandum does not imply trust in the enemy; it has been drafted with evident mistrust."
Congressional Pressure and Israeli Tensions
The Democratic opposition demanded transparency. Senator Chuck Schumer called for the full publication of the text, questioning, "The American people deserve details and full transparency: what exactly does this 'understanding' contain?"
Meanwhile, hours after the announcement, Israel conducted a drone strike in southern Lebanon targeting Hezbollah positions, escalating tensions as Tehran insists the memorandum requires a complete cessation of hostilities on that front.
Countdown to the Geneva Signing
The official signing is scheduled for Friday in Geneva, though Swiss President Guy Parmelin urged caution:
"It's wiser to speak of this weekend," he cautioned, noting that the composition of the delegations is still to be determined.
Parmelin reminded that Switzerland has acted as a "protective power" between the U.S. and Iran since 1980 and that the ceremony in Geneva will serve as a public ratification, given that both parties already digitally formalized the commitment to cease hostilities last Sunday.
"We must be patient to learn the details. It will take place in Geneva because this is the will of the parties and the facilitator, Pakistan," he stated.
Key Questions About the U.S.-Iran Peace Deal
What did Trump deny about the peace agreement with Iran?
Trump denied that the United States agreed to pay $300 million to Iran as part of the peace agreement.
What are the conditions for Iran to benefit economically from the agreement?
Iran must demonstrate verifiable commitments to its nuclear program, including a genuine inspection regime, to benefit economically from the agreement.
What is the role of Switzerland in the U.S.-Iran peace agreement?
Switzerland acts as a protective power between the U.S. and Iran and will host the public ratification ceremony in Geneva.