$4 Billion in Crypto Transactions Linked to Iranian Sanctions Evasion Network

A Dubai-based cryptocurrency exchange allegedly processed at least $4 billion in transactions linked to an Iranian sanctions evasion network involving gambling websites, state-linked entities, and cryptocurrency transfers. Blockchain investigators claim that Shelbit, an unlicensed exchange, became a financial hub connecting over 2,000 Farsi-language gambling sites with Iranian institutions and digital asset markets beyond the country's borders.

The investigation found that wallets linked to Shelbit processed at least $125 million associated with Iran's central bank, as well as funds from state-approved cryptocurrency mining operations and wallets connected to the Islamic Revolutionary Guard Corps (IRGC). Reuters could not independently verify whether the IRGC directly controlled the exchange or the broader network.

Investigations also tracked at least $676 million in cryptocurrency transfers from Shelbit-linked wallets to Binance. Despite Dubai authorities fining Shelbit in 2025 for operating without a license, over $540 million of those transfers allegedly occurred after the fine was imposed.