- BitBank, an Iranian cryptocurrency exchange, is subject to US penalties due to accused sanctions evasion.
- According to the Treasury, BitBank sent hundreds of millions of dollars in Bitcoin associated with the IRGC and Babak Zanjani.
- In its most recent Iran sanctions action, OFAC also targeted three Zanjani associates and BitBank’s developer.
The US Treasury has sanctioned Iranian crypto exchange BitBank, alleging it helped move hundreds of millions of dollars in Bitcoin to Iran’s Islamic Revolutionary Guard Corps (IRGC). BitBank is separate from Japan-based crypto exchange Bitbank, Inc., which was founded in 2014.
The US Department of the Treasury’s Office of Foreign Assets Control (OFAC) announced the sanctions on September 17 as part of its “Operation Economic Outcast,” targeting what it described as Iran’s digital asset-based sanctions evasion network.
U.S. TREASURY SANCTIONS CRYPTO EXCHANGE BITBANK. 🚨
OFAC officially designated BitBank and its developer under Operation Economic Outcast for facilitating state-level sanctions evasion for the Iranian regime. pic.twitter.com/slGyhdRLxS
— The Moon Show (@TheMoonShow) September 17, 2026
BitBank Accused Of Moving Bitcoin To IRGC
According to Treasury, Iranian financier Babak Zanjani used BitBank between June and July to facilitate Bitcoin transfers worth hundreds of millions of dollars to the IRGC.
Treasury also said the Hormuz Safe Marine Services Authority, which it previously designated, used BitBank from June to transfer payments it received to the Iranian regime. The agency described the activity as part of a broader financial structure linked to Zanjani.
Treasury previously alleged that Hormuz Safe was involved in a scheme requiring vessels transiting the Strait of Hormuz to purchase maritime insurance, including coverage against potential seizures by Iran.
The latest sanctions target BitBank, along with its developer Pishtaz Simorgh Electronic Trade Company and three Zanjani associates: Hossein Ali Zaker Hossein, Mohammad Mahdi Zaker Hossein and Seyed Adel Heidari. Treasury identified them as key components of what it described as Iran’s crypto-based sanctions evasion infrastructure.
US Expands Crypto Sanctions On Iran
Treasury Secretary Scott Bessent said the latest action shows that cryptocurrency-related financial activity remains within OFAC’s sanctions reach.
BitBank has operated as an Iranian digital asset exchange since at least 2024, according to the Treasury. The agency said Zanjani promoted the exchange and that its software was developed by Pishtaz Simorgh, a subsidiary of the sanctioned Dot One Value Creation Group.
The sanctions block property and interests in property belonging to the designated entities and individuals that are in the United States or controlled by US persons. Entities owned 50% or more by blocked persons are also subject to blocking restrictions.
The latest move follows other US actions against Iranian crypto platforms. In August, Treasury sanctioned Shelbit and Aban Tether over alleged sanctions-evasion activity, while four Iranian exchanges, including Nobitex, were sanctioned in June.
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