The US Treasury has sanctioned Iranian crypto exchange BitBank, its developer, and three executives tied to financier Babak Zanjani, accusing the platform of moving hundreds of millions of dollars in Bitcoin to Iran's Islamic Revolutionary Guard Corps. The action extends a broader Treasury crackdown on Iran's digital asset sector.
The US Treasury Department has sanctioned cryptocurrency exchange BitBank as part of a wider crackdown on Iran's financial networks. The Office of Foreign Assets Control says BitBank is controlled by Iranian financier Babak Zanjani, who is already under US sanctions, and accuses the exchange of helping move funds linked to Iran.
Funds routed through a sanctioned marine authority
According to OFAC, BitBank was used to transfer payments received by the Hormuz Safe Marine Services Authority, an entity Washington had already designated. The agency said the transfers began in June. Treasury officials also alleged that BitBank was involved in moving hundreds of millions of dollars worth of Bitcoin to Iran's Islamic Revolutionary Guard Corps between June and July.
The action also targets BitBank's developer, Pishtaz Simorgh Electronic Trade Company, along with three executives linked to Zanjani: Hossein Ali Zaker Hossein, Mohammad Mahdi Zaker Hossein, and Seyed Adel Heidari. OFAC described the group as part of Zanjani's digital asset network.
Sanctions rest on an Iran-focused executive order
Executive Order 13902 provides the legal basis for the sanctions, giving the US government powers to target parts of Iran's economy, including its digital asset sector. Treasury plans to use those powers to pursue crypto platforms and other businesses that help Iran evade US restrictions.
BitBank has been operating as an Iranian digital asset exchange since at least 2024. According to OFAC, Zanjani promoted the exchange through his social media accounts, and BitBank was also listed as a partner by other companies connected to his business network.
Zanjani has faced legal action in Iran before. He was sentenced to death in 2016 over the embezzlement of millions of dollars from the state-owned National Iranian Oil Company, though his sentence was later commuted in 2024. US officials now assert he has rebuilt a network of businesses that includes digital asset companies.
Source: U.S. Department of the Treasury
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