Iranian Online Gambling Network Crashes Through Sanctions with Cryptocurrency

A Reuters investigation has uncovered a massive online gambling operation in Iran that allegedly used cryptocurrency to bypass sanctions. The network, which spans over 2,000 websites and was promoted by Iranian social media influencers Sasha Sobhani and Pooyan Mokhtari, is said to have processed billions of dollars through Shelbit, an unlicensed Dubai-based crypto exchange.

The investigation found that tens of millions of dollars generated by the gambling sites flowed through Shelbit before reaching major cryptocurrency platforms. Reuters also reported alleged financial links between Shelbit and Iran's central bank, as well as wallets associated with the Islamic Revolutionary Guard Corps. The US Treasury Department has confirmed it is aware of the findings and is treating the matter seriously.

Dubai regulators had already penalized Shelbit for operating without a license, but the exchange continued to process transactions through its unlicensed affiliate, Nobitex, which was sanctioned by the United States earlier this year. Binance, another major cryptocurrency exchange, received approximately $676 million from wallets connected to Shelbit.