Key facts
- U.S. Treasury sanctioned Dubai-based Shelbit and Iran-based Aban Tether for allegedly facilitating illicit financial transactions for Iran.
- Exchanges are accused of helping Iran move money and evade sanctions, particularly funds linked to the Islamic Revolutionary Guard Corps (IRGC).
- Shelbit's founder, Siavash Kayvanpour, and associated companies were also sanctioned.
- Shelbit allegedly processed over $1 million in crypto to IRGC-linked wallets and received over $2 million from such wallets.
- Aban Tether is accused of processing millions of dollars in transactions involving other sanctioned Iranian exchanges.
- Dubai's VARA previously flagged Shelbit for AML/CFT violations.
The U.S. Treasury Department has sanctioned two cryptocurrency exchanges, Shelbit and Aban Tether, accusing them of facilitating millions of dollars in transactions for Iran's Islamic Revolutionary Guard Corps (IRGC) and other sanctioned entities. This action expands the U.S. campaign to disrupt Iran's use of digital assets to evade international sanctions and fund its activities.
According to the Treasury, Shelbit processed over $1 million in crypto to IRGC-linked wallets and received over $2 million from such wallets. The exchange's founder, Siavash Kayvanpour, was also sanctioned for providing material support to the IRGC and Nobitex, Iran's largest crypto exchange, which was previously sanctioned. Aban Tether is accused of processing millions of dollars in transactions involving other sanctioned Iranian exchanges.
Treasury Secretary Scott Bessent stated that the department will continue to pursue and dismantle illicit financial networks supporting the Iranian regime. The sanctions come amid heightened U.S.-Iran tensions and represent a continuation of U.S. efforts to cut off Tehran's access to global financial markets. Blockchain transactions, while offering an alternative to traditional banking for sanctioned entities, also leave a digital trail that U.S. investigators can follow.
This latest action follows previous U.S. sanctions on Iranian crypto exchanges and wallets linked to Iran's central bank. Notably, Dubai's Virtual Assets Regulatory Authority (VARA) had previously issued a notice against Shelbit for alleged violations of anti-money laundering and terrorism financing laws, citing concerns about the integrity of the UAE's financial system.