US sanctions Iranian crypto exchange BitBank over alleged bitcoin transfers to IRGC

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.

The IRGC is an organization designated as a terrorist group by the U.S., European Union, and several other governments.

The Office of Foreign Assets Control, commonly known as 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.

A Thursday release from the Treasury described BitBank as a "priority digital asset venture" controlled by Zanjani, who was previously sanctioned by OFAC over an alleged network of companies that helped launder money and evade sanctions on Iran.

Between June and July, Zanjani used BitBank to move hundreds of millions of dollars to the IRGC in the form of bitcoin (BTC). The agency also alleged that the Hormuz Safe Marine Services Authority has used the exchange since June to transfer payments to the regime.

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.

The Block reached out to OFAC for clarification and will update this article if additional information is provided.

"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," Treasury Secretary Scott Bessent said. "If you support the Iranian regime, the Department of the Treasury will sanction you."

Economic Fury, Economic Outcast

Thursday's designations mark 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 administration’s earlier "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.