Treasury sanctions BitBank over alleged IRGC-linked crypto transfers

The US Treasury sanctioned BitBank, an Iranian digital asset exchange. The department alleges that BitBank was used to move hundreds of millions of dollars in Bitcoin (BTC) to the Islamic Revolutionary Guard Corps. OFAC said Babak Zanjani routed the transfers through BitBank between June and July. Zanjani has advertised BitBank's services on social media accounts since at least 2024, according to Treasury. Hormuz Safe Marine Services Authority has passed payments to the Iranian regime through BitBank since June. OFAC also designated Pishtaz Simorgh Electronic Trade Company, the developer of BitBank's digital asset software. Pishtaz Simorgh is a subsidiary of Dot One Value Creation Group. OFAC designated Dot One earlier. The designations included three Dot One executives. Treasury said Hossein Ali Zaker Hossein brokered digital asset transactions that reached the IRGC. Mohammad Mahdi Zaker Hossein runs Pishtaz Simorgh. Seyed Adel Heidari serves as vice chairman of Dot One's board. Bessent said Treasury would sanction people who support the Iranian regime. The action extends Operation Economic Outcast. Bessent announced the campaign on August 24. He called it Economic D-Day. OFAC blacklisted Shelbit and Aban Tether in August over IRGC-linked transfers. OFAC also targeted a crypto-funded Hormuz toll scheme built around maritime insurance firms. Earlier this month, Treasury declared Iran's digital asset sector sanctionable in full. On September 14, Treasury designated Russia's VTB Bank over alleged correspondent relationships with sanctioned Iranian banks. The actions flow from Executive Order 13902 and Operation Economic Outcast.