The Trump administration has unveiled a new round of sanctions on Iran that, for the first time, extends to digital asset exchanges accused of supporting the Islamic Revolutionary Guard Corps, or IRGC. The U.S. Treasury Department’s Office of Foreign Assets Control, known as OFAC, said Monday that the action responds to Iran’s violent suppression of domestic protests and the regime’s use of financial and digital channels to evade sanctions.
Two UK-registered exchanges added to the sanctions list
OFAC named Zedcex Exchange Ltd. and Zedxion Exchange Ltd., two cryptocurrency exchanges registered in the United Kingdom. Treasury said both platforms processed large volumes of transactions tied to counterparties linked to the IRGC and also maintained connections to Iranian businessman Babak Morteza Zanjani. According to Treasury, this is the first time crypto exchanges have been sanctioned under authorities related to Iran.
Iranian interior minister and IRGC-linked figures also targeted
Among the sanctioned individuals is Eskandar Momeni Kalagari, Iran’s Minister of the Interior. OFAC said he oversees the Law Enforcement Forces of the Islamic Republic of Iran and has played a central role in coordinating domestic security operations that led to widespread abuses against civilians during nationwide protests. Several senior IRGC commanders were also designated over their oversight of provincial security forces accused of violent repression, mass arrests, and intimidation campaigns.
Treasury also sanctioned Babak Morteza Zanjani, describing him as an Iranian businessman previously convicted of embezzling billions of dollars in oil revenues belonging to the Iranian people. The department said he was released from prison to help the regime launder funds and later provided financial backing for major projects connected to the IRGC and the Iranian government.
Treasury says crypto sanctions evasion remains in focus
U.S. Treasury Secretary Scott Bessent said the measures reflect a broader push to confront Iran’s misuse of the financial system, including digital assets. In Treasury’s statement, he said the regime had chosen to direct what remains of the country’s oil revenue toward nuclear weapons development, missiles, and terrorist proxies rather than building a prosperous Iran. Treasury added that it will keep targeting networks that enrich regime insiders while exploiting cryptocurrencies to bypass international restrictions.
The designations were issued under multiple executive authorities covering human rights abuses, counterterrorism, and Iran’s financial and energy sectors. Treasury said all property and interests in property of the sanctioned individuals and entities within U.S. jurisdiction are now blocked, and U.S. persons are barred from transactions involving them. It also warned that foreign companies and financial institutions could face exposure if they provide material support to designated actors.