The United States has sanctioned Iranian crypto exchange BitBank, alleging that the platform processed Bitcoin payments connected to a maritime scheme backed by Iran’s Islamic Revolutionary Guard Corps (IRGC).
The Treasury Department’s Office of Foreign Assets Control (OFAC) said the Hormuz Safe Marine Services Authority used BitBank as recently as June to transfer funds it received to the IRGC. US officials also linked the exchange to a network allegedly used by Iranian financier Babak Zanjani to move hundreds of millions of dollars in Bitcoin.
Sanctions target wider digital-asset network
Treasury has previously alleged that Hormuz Safe is part of an IRGC-supported arrangement that pressures vessels to purchase maritime insurance for passage through the Strait of Hormuz, including coverage against seizures by Iran itself.
“Today’s designations of Iranian digital asset infrastructure make abundantly clear that efforts to finance the Iranian regime using cryptocurrencies are not beyond OFAC’s reach,” Treasury Secretary Scott Bessent said.
The latest designations cover BitBank, its developer Pishtaz Simorgh Electronic Exchange Company and three associates of Zanjani. Treasury described the entities and individuals as key components of what it called Iran’s digital-asset-based sanctions-evasion infrastructure.
BitBank is listed by Treasury as having been established in 2024. It is separate from bitbank, inc., a fully licensed Japanese cryptocurrency exchange founded in 2014 and acquired by SBI Holdings in June.
Broader US pressure on Iranian crypto markets
The action follows a series of US measures against Iranian cryptocurrency platforms. In August, Washington sanctioned the digital-asset exchanges Shelbit and Aban Tether, accusing them of assisting sanctions evasion. In June, Treasury targeted four Iranian exchanges, including Nobitex, described as the country’s largest.
US authorities also ordered the freezing of more than $130 million in Tether’s USDt held in wallets linked to Iran in July. Amid tightening restrictions, Iran’s central bank has reportedly eased foreign-exchange controls to encourage companies to repatriate overseas earnings, including through cryptocurrency.
