Key facts
- The U.S. Treasury sanctioned two Iranian companies for an extortion scheme.
- The scheme used bitcoin to provide insurance for ships in the Strait of Hormuz.
- The funds generated by the scheme were allegedly funneled to Iran's Islamic Revolutionary Guard Corps (IRGC).
- The U.S. has previously frozen other Iranian digital assets.
The U.S. Treasury has sanctioned two Iranian companies for their involvement in an extortion scheme that utilized bitcoin to offer insurance to vessels navigating the Strait of Hormuz. According to the Treasury Department, the illicit proceeds from this operation were directed towards Iran's Islamic Revolutionary Guard Corps (IRGC).
This action follows previous measures by the U.S. to freeze other digital assets belonging to Iran, indicating a broader effort to curb the country's use of cryptocurrencies for illicit activities.