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- OFAC added the Iranian crypto exchange BitBank and its developer to the sanctions list.
- The U.S. Treasury said the platform was used to transfer hundreds of millions of dollars’ worth of bitcoin to the IRGC.
- The restrictions were part of Operation Economic Outcast targeting Iran’s financial infrastructure.
The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) imposed sanctions on the Iranian crypto exchange BitBank. The agency claims the platform was used to transfer hundreds of millions of dollars’ worth of bitcoin to the Islamic Revolutionary Guard Corps (IRGC).
According to the Treasury, BitBank is controlled by Iranian businessman Babak Zanjani, who was previously sanctioned. Alongside the exchange, the restrictions also hit its software developer, Pishtaz Simorgh Electronic Trade Company, as well as three individuals linked to Zanjani.
OFAC said that from June to July 2026, Zanjani used BitBank to transfer hundreds of millions of dollars’ worth of bitcoin to the IRGC. In addition, since June, the sanctioned Hormuz Safe Marine Services Authority has routed payments through the platform that were intended for Iranian state entities
The Treasury considers BitBank part of an infrastructure created by Zanjani to move capital and evade restrictions. The agency said his network combined publicly operating commercial projects and financial platforms that were allegedly used to launder funds and support state-linked organizations.
“Today’s sanctions on Iran’s digital asset infrastructure make clear that attempts to finance Iran using cryptocurrencies are not beyond OFAC’s reach,” U.S. Treasury Secretary Scott Bessent said.
BitBank and Pishtaz Simorgh were sanctioned under Executive Order 13902. The Treasury noted that the order also applies to Iran’s digital asset sector. U.S. authorities also warned of sanctions risk for foreign companies and other market participants that help evade restrictions
Assets of sanctioned individuals and organizations located in the U.S. or under the control of U.S. persons are subject to blocking. Similar restrictions apply to entities that are 50% or more owned by one or more parties on the sanctions list.
U.S. Tightens Oversight of Iran’s Cryptocurrency Channels
The new restrictions were part of Operation Economic Outcast, which the U.S. Treasury announced on August 24, 2026. At the time, U.S. authorities expanded sanctions pressure on Iran-linked entities. In particular, the measures targeted the cryptoasset sector, and OFAC imposed actions against 60 organizations, individuals, and vessels.
In early August, OFAC also initiated sanctions against the crypto exchanges Shelbit and Aban Tether. U.S. authorities linked the platforms to sanctions evasion schemes and IRGC financial flows.
In addition, on September 15, it emerged that the U.S. Department of Justice sought to seize about $61 million in cryptocurrency. Authorities tied the funds to sales of sanctioned Iranian oil and to entities that, investigators allege, converted the proceeds into digital assets. The case materials also referenced organizations linked to the IRGC.
Zanjani’s name had previously surfaced in a The Wall Street Journal investigation as well. In May 2026, the outlet reported roughly $850 million in transactions that the businessman’s network may have routed through Binance over two years. The exchange rejected allegations that it helped evade sanctions and said its compliance procedures were effective.
Source: incrypted.com