Iranian Crypto Exchange Tied to Global Online Gambling Network

A complex investigation by Reuters has revealed what could be one of the world's largest illegal online gambling networks, allegedly used to move billions of dollars through cryptocurrency while helping sanctioned Iranian entities access international financial markets.

The operation focused on Shelbit, an unlicensed cryptocurrency exchange in Dubai that processed at least $4 billion starting in May 2024. Blockchain data analyzed by Reuters and two other companies links the exchange to a vast Farsi-language gambling network spanning over 2,000 websites.

The report states that the gambling operation is promoted by Iranian social media personalities Sasha Sobhani and Pooyan Mokhtari, both with millions of followers online. They were convicted in Iran in 2023 for an illegal gambling case, but denied any involvement in money laundering and attempts to evade sanctions.

Blockchain records show tens of millions of dollars generated through the gambling sites flowing into Shelbit before reaching major cryptocurrency platforms. Shelbit maintained financial connections with Iran's central bank, including wallets linked by Israeli authorities to the Islamic Revolutionary Guard Corps, and via Nobitex, an Iranian cryptocurrency exchange sanctioned by the US earlier this year.