US Treasury Targets Iran Crypto Sector and $100M Oil Payment Network

The US Treasury has launched Operation Economic Outcast, targeting nearly 60 entities, individuals, and vessels connected to Iranian nuclear, missile, cyber, and oil networks. The operation includes a sectoral determination that allows the Office of Foreign Assets Control (OFAC) to sanction anyone globally that operates in or supports Iran's digital assets sector.

The designation extends an enforcement campaign that previously focused on specific exchanges and transactions tied to sanctioned Iranian parties. OFAC has expanded its authority under Executive Order 13902 to cover five Iranian economic sectors, including the digital asset sector, aviation, gold, shipping, and technology.

The Treasury has also targeted Ukrainian national Ivan Obukhov, a United Arab Emirates-based broker accused of facilitating oil shipments for Iran's military and its proxies. Since 2023, Obukhov has processed more than $100 million in cryptocurrency payments supporting oil sales for the Islamic Revolutionary Guard Corps-Qods Force.

The operation also includes the designation of a cyber espionage group inside Iran's Ministry of Intelligence and Security (MOIS) for hacking U.S. critical infrastructure on behalf of the regime. Bitcoin, Ethereum, and TRON wallets belonging to group co-leader Behzad Mesri and member Keyvan Fayyaz Gareh Blagh were blocked.

The sanctions follow earlier actions involving substantially larger volumes of Iranian-linked cryptocurrency. Treasury Secretary Scott Bessent stated in May that the government had seized approximately $1 billion in Iran-linked crypto through a broader campaign targeting sanctioned wallets, oil revenue, and financial networks associated with the Iranian government and the IRGC.