US sanctions Iranian crypto exchange BitBank over alleged bitcoin transfers to IRGC
US Treasury sanctions BitBank exchange
The U.S. Treasury Department sanctioned Iranian crypto exchange BitBank on Thursday, alleging it facilitated the transfer of hundreds of millions of dollars in bitcoin to the Islamic Revolutionary Guard Corps (IRGC). The IRGC is designated as a terrorist group by the U.S., European Union, and several other governments.
The Treasury's Office of Foreign Assets Control (OFAC) also designated BitBank's software developer, Pishtaz Simorgh Electronic Trade Company, and three associates of Iranian financier Babak Zanjani: Hossein Ali Zaker Hossein, Mohammad Mahdi Zaker Hossein, and Seyed Adel Heidari.
Key allegations
- The Treasury said Zanjani, who was previously sanctioned by OFAC for alleged money laundering and sanctions evasion, controlled BitBank as a "priority digital asset venture."
- Between June and July, Zanjani allegedly used BitBank to move hundreds of millions of dollars in bitcoin to the IRGC.
- The Hormuz Safe Marine Services Authority has allegedly used the exchange since June to transfer payments to the Iranian regime, according to the Treasury.
Context: Hormuz Safe platform
Hormuz Safe appears to be the formal entity behind a bitcoin-settled platform first reported by Iranian media in May. The platform was promoted as offering coverage for ships traveling on the Strait of Hormuz, a few months after the U.S.-Iran conflict began. At the time, Iran said it was targeting more than $10 billion in revenue for the platform.
Treasury Secretary's statement
"Today's designations of Iranian digital asset infrastructure make perfectly clear that efforts to finance the Iranian regime using cryptocurrencies are not beyond OFAC's reach," said Treasury Secretary Scott Bessent. "If you support the Iranian regime, the Department of the Treasury will sanction you."
Part of a broader crackdown
Thursday's designations are the latest U.S. crackdown on crypto platforms allegedly helping Iran evade sanctions. In June, OFAC sanctioned Nobitex, Iran's largest crypto exchange, along with Wallex, Bitpin, and Ramzinex under the "Economic Fury" campaign. Treasury said Nobitex processed more than half of Iran's digital asset inflows in 2025 and facilitated transactions involving the IRGC and other sanctioned entities. OFAC followed up in August by sanctioning exchanges Shelbit and Aban Tether.
The latest action falls under a continuation of Economic Fury called "Operation Economic Outcast," a broader campaign launched on Aug. 24.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.