The United States has imposed fresh sanctions on two Iranian nationals and a network of businesses spanning Hong Kong and the United Arab Emirates, accusing them of channeling more than $100 million in cryptocurrency from Iranian oil sales to fund Tehran’s government and military programs.
According to the U.S. Treasury Department, Alireza Derakhshan and Arash Estaki Alivand spearheaded the scheme, using front companies and overseas networks to disguise transactions and bypass restrictions on Iran’s energy sector. Officials described the operation as part of a broader “shadow banking” system that leverages crypto markets to evade international sanctions.
Treasury Under Secretary for Terrorism and Financial Intelligence John K. Hurley said the measures are aimed at choking off financial lifelines that support Iran’s weapons development and destabilizing activities across the Middle East. “We will continue to dismantle these illicit funding streams,” Hurley stated.
The sanctions were enacted under a February executive order from President Donald Trump, which directs U.S. agencies to eliminate Iran’s oil exports and block any pathway toward nuclear weapons capability. The penalties freeze any U.S.-based assets linked to the sanctioned individuals and entities and prohibit American companies or citizens from engaging in transactions with them.
The crackdown highlights Washington’s concern over the growing use of cryptocurrency by sanctioned nations. A recent report by blockchain analytics firm Chainalysis found that Iran and similar jurisdictions received nearly $16 billion in digital assets in 2024, making up close to 40% of all illicit crypto activity worldwide.
These latest measures come on the heels of France, Germany, and Britain activating a U.N. “snapback” mechanism, which automatically reinstates sanctions previously lifted under the 2015 nuclear deal. Diplomatic efforts to negotiate a new agreement stalled earlier this year following Israeli airstrikes on Iranian nuclear and military facilities and a U.S. bombardment in late June.
The new round of sanctions underscores mounting international pressure on Tehran, as Western powers move to limit both its nuclear ambitions and its ability to sidestep financial restrictions through digital currencies.
