Nikolas Sargeant
TL;DR
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The U.S. Treasury sanctioned Iranian cryptocurrency exchange BitBank on Thursday.
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OFAC alleges BitBank transferred hundreds of millions of dollars in Bitcoin to Iran’s Islamic Revolutionary Guard Corps.
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The sanctions also target BitBank’s software developer and three associates of financier Babak Zanjani.
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Treasury claims a maritime insurance platform linked to the Strait of Hormuz used BitBank to transfer payments to Iran.
OFAC Targets BitBank and Its Developer
The U.S. Treasury Department sanctioned Iranian cryptocurrency exchange BitBank on Thursday, accusing the platform of helping transfer hundreds of millions of dollars in Bitcoin to the Islamic Revolutionary Guard Corps.
The Treasury’s Office of Foreign Assets Control also designated BitBank’s software developer, Pishtaz Simorgh Electronic Trade Company.
Three associates of Iranian financier Babak Zanjani—Hossein Ali Zaker Hossein, Mohammad Mahdi Zaker Hossein and Seyed Adel Heidari—were included in the latest sanctions.
OFAC described BitBank as a significant digital-asset business controlled by Zanjani. The U.S. previously sanctioned the financier over allegations that his corporate network laundered money and helped Iran evade international restrictions.
According to the Treasury, Zanjani used BitBank between June and July to transfer hundreds of millions of dollars in Bitcoin to the IRGC.
The United States and several other governments designate the IRGC as a terrorist organization. The European Union currently lists the IRGC under its terrorism sanctions regime.
OFAC also alleged that the Hormuz Safe Marine Services Authority has used BitBank to transfer payments to the Iranian government since June.
Hormuz Safe appears to be the entity behind a Bitcoin-settled maritime insurance platform first reported by Iranian media in May. The service was promoted as providing coverage for ships traveling through the Strait of Hormuz following the start of the U.S.-Iran conflict.
Iran reportedly aimed to generate more than $10 billion in revenue through the platform.
Treasury Secretary Scott Bessent said the designations demonstrate that cryptocurrency infrastructure used to fund the Iranian government remains within OFAC’s reach.
The action generally freezes any designated parties’ property under U.S. jurisdiction and restricts American individuals and companies from conducting transactions with them, subject to applicable Treasury rules and licenses.
The measures also increase the compliance risks for foreign financial institutions and cryptocurrency companies that interact with BitBank or other sanctioned entities.
US Expands Crackdown on Iranian Crypto Platforms
Thursday’s action is the latest step in a broader U.S. campaign against cryptocurrency exchanges accused of helping Iran avoid sanctions.
In June, OFAC sanctioned Nobitex—described as Iran’s largest crypto exchange—alongside Wallex, Bitpin and Ramzinex under the “Economic Fury” campaign.
The Treasury alleged that Nobitex handled more than half of Iran’s digital-asset inflows during 2025 and processed transactions connected to the IRGC and other sanctioned parties.
OFAC expanded the effort in August by sanctioning Iranian exchanges Shelbit and Aban Tether.
In June, TRM Labs also alleged that the cryptocurrency exchange CoinEx has processed more than $3.84 billion in transaction flows linked to sanctioned Iranian entities since 2019.
The BitBank designations fall under “Operation Economic Outcast,” a continuation of the earlier campaign launched on August 24 to target Iran’s alleged sanctions-evasion networks.
