Inside the Stalled US-Iran Ceasefire Deal

Despite days of reports that Washington and Tehran were closing in on a deal to end their war, negotiations have stalled once again—pushed back "into the red" by disputes over Iran's enriched uranium stockpile and a multi-billion-dollar demand for frozen funds . At the center of the standoff is a one-page Memorandum of Understanding (MoU) that both sides acknowledge in principle yet cannot sign, because it deliberately postpones the most difficult questions.

The One-Page Draft Deal Framework

The proposed MoU is designed as a confidence-building bridge, not a final settlement. It would end active hostilities and reopen the Strait of Hormuz, while explicitly deferring a comprehensive nuclear agreement to a later negotiating window .

Key elements that have been broadly outlined include:

• A 60-day ceasefire extension taking effect upon signing .
• Iran reopening the Strait of Hormuz in phases—starting with mine clearance and ending its blockade—and allowing ships to transit without paying tolls .
• The US lifting its naval blockade on Iranian ports and providing sanctions relief, including letting Iran openly export crude oil .
• A separate track for broader nuclear negotiations to begin within 60 days (some drafts say 30 days) .

A senior US official confirmed on May 25 that Iran's supreme leader has approved the template, but a signing is not imminent because key details remain unresolved .

What Exactly Is Stalling the Deal

1. The Uranium Stockpile: Where—and Whether—to Destroy It

Iran holds roughly 440 kilograms of uranium enriched to 60% purity, a level that is a short technical step from weapons-grade. The International Atomic Energy Agency has assessed this is enough material, if further enriched, to produce about 11 nuclear weapons . The US has long insisted the stockpile must be eliminated as a precondition for any lasting deal.

On May 25, President Trump signaled a clear softening from an earlier position that all the material must be shipped out of Iran. In a Truth Social post, he outlined three acceptable options: immediate transfer to the US for destruction; destruction "in place" inside Iran under international supervision and in coordination with Tehran; or destruction at another mutually acceptable location, witnessed by the Atomic Energy Commission or its equivalent . He referred to the stockpile as "Nuclear Dust!" and said the IAEA would oversee the process .

Iran has resisted any outright physical handover of the material. Its counter-proposal, according to Le Monde, involves diluting the stockpile under IAEA supervision—a step that was partially implemented during the JCPOA era—with the remainder exported to Russia, rather than sent to the United States . Hardliners in Tehran are pushing back against any uranium disposal, and this single issue has repeatedly derailed the broader talks .

2. Iran's Refusal to Negotiate Nuclear Limits Now

The MoU was intentionally structured to kick the nuclear can down the road. Iran has refused to include permanent cessation of enrichment or dismantlement of its facilities in this first-phase document, committing only to future nuclear talks without any substantive concessions at this stage . Washington views this as buying time, while Tehran treats it as a line it will not cross before sanctions relief.

3. The $12–25 Billion Frozen Assets Showdown

Money is the other main sticking point. Iran is demanding the release of frozen assets as a precondition for even the preliminary MoU.

Specifically, Iranian negotiators have made access to $12 billion in frozen funds held in Qatar a strict precondition for moving forward, according to a source with direct knowledge cited by Iran International . Reports from Iran's Tasnim agency add that Tehran wants half of a broader $24 billion released immediately upon announcement of the MoU, with the remainder freed within 60 days .

Other estimates suggest the total disputed sum ranges as high as $20–25 billion across multiple jurisdictions . The US has been reluctant to release such large sums upfront, and the sequencing of money for concessions remains one of the hardest disputes .

4. Internal Hardliner Resistance

Even as US officials say the framework is close, hardliners inside Iran are resisting terms that include uranium disposal and reopening the Strait of Hormuz under conditions linked to US demands . The US side has its own caution light: Trump told representatives "not to rush into a deal" just as regional officials described the agreement as near-final .

Current Status

As of May 25–26, 2026, the negotiations are stalled, with reports of new strikes near Hormuz and renewed US ultimatums . The broad template exists, but the deal remains unsigned because it deliberately postpones the hardest questions—uranium disposal and nuclear enrichment rights—while two immediate disputes over money and material block the first step.