After a $4 billion Iranian crypto route was exposed, the US sanctioned two exchanges
The Iranian regime’s reliance on digital assets and shadow banking networks is further evidence that Economic Fury is working. We will continue to increase the economic pressure. Whether in dollars, rials, or crypto, Treasury will hunt down and dismantle the illicit financial…
The US Treasury sanctioned Dubai-based crypto exchange Shelbit and Iran-based Aban Tether on August 7. Treasury alleged that the two exchanges processed transactions for Iran's Revolutionary Guard and other already sanctioned Iranian entities. Shelbit denied knowingly assisting money laundering or sanctions evasion.
Why the two exchanges were targeted
The action reaches beyond adding two names to a sanctions list. Reuters reported on July 31 that Shelbit sat at the center of a $4 billion evasion network linking Iran's central bank, an illegal online gambling operation, and addresses tied to the Revolutionary Guard. Treasury said Shelbit processed millions of dollars for Guard-linked parties and that Aban Tether moved millions more for sanctioned Iranian entities. Shelbit's website appeared unable to process customer transactions for months, yet money continued to move, and the site reopened one day after the Reuters investigation. A closed public interface does not necessarily mean the wallets and intermediary companies have stopped operating.
The policy does not stop crypto itself. It narrows the points where cash and digital assets meet identifiable operators.
The next link after the June action
The United States had already sanctioned Nobitex, Iran's largest crypto exchange, and three other exchanges on June 2. Treasury said Nobitex handled more than half of all Iranian digital-asset inflows in 2025. Wallex and Bitpin accounted for 12% and 10%, respectively, while Ramzinex had processed more than $2.45 billion. The Shelbit and Aban Tether designations follow traces that moved through offshore intermediaries and other exchanges after the largest domestic venues were targeted.
US Treasury sanctions Iran's largest crypto exchange and three others (US Treasury, 2026-06-02)How Shelbit was identified matters as much as the designation. Reuters combined blockchain transaction records with corporate documents to map the $4 billion route before the government acted. Dubai's virtual-asset regulator also warned that Shelbit had breached anti-money-laundering requirements. Public wallets do not immediately reveal a real name, but repeated transactions can expose the exchanges and companies that keep appearing at the same junctions.
A network exposed is not a network closed
Bessent said Iran's shadow-finance system was buckling. The designation shows that two junctions in that network were exposed, but it does not prove that the full channel has closed. Shelbit said it had stopped operating in January, yet its website reopened on August 1. When one exchange is blocked, money can move to new addresses or another intermediary. The test is not the length of the sanctions list. If activity tied to Shelbit and Aban Tether falls without a new large intermediary emerging, US tracing will have created a real chokepoint. If the same funds reappear through another exchange and new wallets, only the route has changed. Will this action reduce Iran's ability to move money, or accelerate the search for the next detour?
- The US sanctioned Dubai-based Shelbit and Iran-based Aban Tether over alleged transactions tied to Iran's Revolutionary Guard.
- Reuters traced Shelbit to the center of a $4 billion sanctions-evasion network, while Shelbit denied knowingly supporting illicit activity.
- Crypto crosses borders quickly, but exchanges and wallet addresses leave chokepoints that sanctions can target.
Sources
- Original Bessent statement on sanctions against Iran-linked crypto exchanges · 2026-08-07
- Reuters investigation and sanctions report Shelbit's $4 billion route, responses and Dubai regulator action · 2026-08-07
- US Treasury June sanctions Transaction shares and sanctions basis for Nobitex and three other Iranian exchanges · 2026-06-02
Checked 2026-08-09 · Designations and transaction values follow US Treasury and Reuters reporting