The United States has imposed new sanctions on high-ranking Iranian officials and cryptocurrency exchanges accused of roles in a violent protest crackdown and money laundering. These measures, announced by the Treasury Department’s Office of Foreign Assets Control (OFAC), target Iran’s Interior Minister and entities tied to the Islamic Revolutionary Guard Corps (IRGC). The actions aim to disrupt financial networks sustaining repression and illicit finance.
Sanctioned Individuals and Entities
Iran’s Minister of the Interior, Eskandar Momeni Kalagari, leads the list of sanctioned officials. He oversees the Law Enforcement Forces of the Islamic Republic of Iran (LEF), blamed for thousands of protester deaths during nationwide unrest. OFAC describes Momeni as central to the regime’s “murderous” suppression tactics.
Other designations include a “criminal investor” linked to embezzling oil revenues, alongside IRGC-connected figures. For the first time, OFAC sanctioned digital asset exchanges: UK-registered Zedcex Exchange, Ltd. (Zedcex) and Zedxion Exchange, Ltd. (Zedxion). Zedcex has processed over $94 billion in transactions since 2022, while Zedxion listed sanctioned businessman Babak Zanjani as a director initially. These platforms handled funds for IRGC-linked wallets, marking OFAC’s inaugural action against crypto exchanges in Iran’s financial sector.
Earlier related actions in January 2026 hit 18 individuals and firms in a “shadow banking” network laundering oil and petrochemical proceeds via Bank Melli and Shahr Bank. These build on the latest round, focusing on protest “architects” and financial enablers.
Official US Statements
Treasury Secretary Scott Bessent stated: “Rather than build a prosperous Iran, the regime has chosen to squander what remains of the nation’s oil revenues on nuclear weapons development, missiles, and terrorist proxies around the world.” He added that President Trump “stands with the people of Iran” and directed sanctions against regime members, corrupt elites, and digital asset evasion tactics. Bessent likened the regime to “rats on a sinking ship” wiring stolen funds globally, vowing Treasury action.
The Treasury emphasized support for Iranian protesters against a “corrupt and repressive regime,” amid ongoing demonstrations despite internet blackouts and repression. Sanctions block US property access, restrict travel, and bar US dealings with targets.
Context of Iranian Protests
The sanctions respond to Iran’s largest anti-government protests in its history, triggered by economic woes, repression, and rights abuses. US officials cite the regime’s brutal response, including LEF killings of peaceful demonstrators. Protests have waned under crackdowns but persist, with the latest measures post-January escalations.
Crypto and Money Laundering Links
Zedcex and Zedxion’s ties to Zanjani, previously sanctioned for oil smuggling, highlight Iran’s use of crypto to bypass restrictions. These exchanges processed IRGC funds, funding cybercrime and evasion. This first-of-its-kind designation signals heightened US scrutiny on digital assets in sanctioned economies, amid Iran’s oil revenue misuse.
Broader Implications
These sanctions expand US pressure on Iran under President Trump, following his 2024 reelection. They disrupt laundering of billions from petroleum sales, targeting front companies and officials. Analysts see this as part of a strategy against nuclear ambitions, proxies, and domestic oppression. Iran has not issued an immediate response, but past patterns suggest defiance and circumvention attempts.
Global markets may feel ripples in crypto and energy sectors, with UK regulators potentially probing Zedcex and Zedxion. The moves underscore Trump’s pledge to back Iranian dissidents while choking regime finances.