Two crypto exchanges registered in the United Kingdom processed approximately $1 billion in transactions linked to Iran’s Islamic Revolutionary Guard Corps whileTwo crypto exchanges registered in the United Kingdom processed approximately $1 billion in transactions linked to Iran’s Islamic Revolutionary Guard Corps while

Iran Used UK Crypto Platforms to Evade Sanctions With $1B in Secret Flows: Report

4 min read

Two crypto exchanges registered in the United Kingdom processed approximately $1 billion in transactions linked to Iran’s Islamic Revolutionary Guard Corps while publicly operating as conventional trading platforms, blockchain intelligence firm TRM Labs revealed in a January 9 report.

Zedcex and Zedxion facilitated operational financing for the IRGC, with illicit flows accounting for roughly 56% of their total transaction volume and peaking at 87% in 2024.

The exchanges incorporated in the UK between 2021 and 2022 used nominal directors, virtual office addresses, and repeatedly filed dormant accounts despite processing billions in on-chain activity.

Corporate records directly connect Zedcex to Babak Morteza Zanjani, an Iranian sanctions-evasion financier previously sanctioned by the US and EU in 2013 for laundering billions in oil revenue on behalf of regime entities, including the IRGC, before those penalties were lifted under the now-defunct Iran nuclear deal.

Iran UK Crypto Transactions - Annual Value Flows Within ZedcexSource: TRMLabs

Network Processed Record IRGC Flows Through Shell Structure

IRGC-linked addresses at Zedcex processed $23.7 million in 2023, representing 60% of total activity, before surging to $619.1 million in 2024 when the IRGC share jumped to 87%.

Activity declined to $410.4 million in 2025 as non-IRGC flows increased, reducing the corps’ share to 48%.

The two exchanges operated as a single enterprise despite separate UK incorporation, with both entities sharing directors, addresses, and coordinated timing that indicated continuity rather than independence.

Zanjani’s withdrawal from Zedxion in 2022, followed immediately by Zedcex’s incorporation under the same control structure and address, suggested operational continuity rather than separation.

After being arrested in Iran and sentenced to death for embezzling millions from Iran’s National Oil Company, his sentence was commuted in 2024 after repaying funds, and he re-emerged publicly with proximity to regime-linked economic projects through DotOne Holding Group, a conglomerate spanning cryptocurrency, foreign exchange, logistics, and telecommunications.

Iran UK Crypto Transactions - Report ScreenshotSource: TRMLabs

TRM analysis linked Zedcex wallets directly to addresses designated by Israeli authorities as IRGC property under the Administrative Seizure Order ASO-43/25, issued in September 2025, many of which Tether subsequently blocklisted.

Transfers conducted almost entirely in USDT on the TRON blockchain routed funds between designated IRGC addresses, offshore intermediaries, and domestic Iranian exchanges, including Nobitex, Wallex, and Aban Tether.

Iran UK Crypto Transactions - Zedcex Wallets ConnectionsSource: TRMLabs

The exchanges also integrated with Zedpay, a Turkey-based mobile payment processor that maintains relationships with Turkish financial entities, including Vepara, whose license was later suspended amid money laundering concerns, and Vakif Katilim, a state-owned Islamic bank previously scrutinized for facilitating Iran-linked financial activity.

This integration extended capabilities beyond trading to support fiat settlement and real-world payments for actors under sanctions constraints.

On-chain tracing revealed that over $10 million in USDT transferred directly from wallets dually attributable to Zedcex and the IRGC to addresses controlled by Sa’id Ahmad Muhammad al-Jamal, who is sanctioned by the US Treasury for providing material support to the IRGC and operating smuggling networks that generate revenue for Yemen’s Houthis.

The absence of intermediary routing established Zedcex infrastructure as an active funding rail rather than an incidental touchpoint.

The case emerges as sanctioned nation-states increasingly dominate crypto crime statistics, with Chainalysis reporting illicit addresses received at least $154 billion in 2025, marking a 162% jump from $59 billion in 2024, driven largely by a 694% increase in sanctioned entity activity.

Iran UK Crypto Transactions - waves of crypto crime 2009 to 2025 chartSource: Chainalysis

Stablecoins accounted for 84% of all illicit transaction volume, mirroring broader ecosystem trends in which these assets offer easy cross-border transfers and lower volatility.

Iran’s broader crypto operations have faced mounting pressure throughout 2025, with flows involving Iranian entities falling to $3.7 billion between January and July, a 11% decline from 2024.

The Treasury Department sanctioned two Iranian nationals in September for coordinating over $100 million in cryptocurrency oil sales benefiting the IRGC, while Iran has explored accepting digital currencies for advanced weapons sales, including ballistic missiles and drones marketed through its Ministry of Defense Export Center.

Russia launched its ruble-backed A7A5 token in February 2025, processing over $93.3 billion in transactions in less than a year as Moscow similarly leveraged crypto infrastructure to circumvent Western financial restrictions.

Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact [email protected] for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Microsoft Corp. $MSFT blue box area offers a buying opportunity

Microsoft Corp. $MSFT blue box area offers a buying opportunity

The post Microsoft Corp. $MSFT blue box area offers a buying opportunity appeared on BitcoinEthereumNews.com. In today’s article, we’ll examine the recent performance of Microsoft Corp. ($MSFT) through the lens of Elliott Wave Theory. We’ll review how the rally from the April 07, 2025 low unfolded as a 5-wave impulse followed by a 3-swing correction (ABC) and discuss our forecast for the next move. Let’s dive into the structure and expectations for this stock. Five wave impulse structure + ABC + WXY correction $MSFT 8H Elliott Wave chart 9.04.2025 In the 8-hour Elliott Wave count from Sep 04, 2025, we saw that $MSFT completed a 5-wave impulsive cycle at red III. As expected, this initial wave prompted a pullback. We anticipated this pullback to unfold in 3 swings and find buyers in the equal legs area between $497.02 and $471.06 This setup aligns with a typical Elliott Wave correction pattern (ABC), in which the market pauses briefly before resuming its primary trend. $MSFT 8H Elliott Wave chart 7.14.2025 The update, 10 days later, shows the stock finding support from the equal legs area as predicted allowing traders to get risk free. The stock is expected to bounce towards 525 – 532 before deciding if the bounce is a connector or the next leg higher. A break into new ATHs will confirm the latter and can see it trade higher towards 570 – 593 area. Until then, traders should get risk free and protect their capital in case of a WXY double correction. Conclusion In conclusion, our Elliott Wave analysis of Microsoft Corp. ($MSFT) suggested that it remains supported against April 07, 2025 lows and bounce from the blue box area. In the meantime, keep an eye out for any corrective pullbacks that may offer entry opportunities. By applying Elliott Wave Theory, traders can better anticipate the structure of upcoming moves and enhance risk management in volatile markets. Source: https://www.fxstreet.com/news/microsoft-corp-msft-blue-box-area-offers-a-buying-opportunity-202509171323
Share
BitcoinEthereumNews2025/09/18 03:50
Marathon Digital BTC Transfers Highlight Miner Stress

Marathon Digital BTC Transfers Highlight Miner Stress

The post Marathon Digital BTC Transfers Highlight Miner Stress appeared on BitcoinEthereumNews.com. In a tense week for crypto markets, marathon digital has drawn
Share
BitcoinEthereumNews2026/02/06 15:16
Fintech in a Fragmented World: Building Financial Products Across Geopolitical Lines

Fintech in a Fragmented World: Building Financial Products Across Geopolitical Lines

For most of the last ten years, the fintech growth story was one without borders. Startups made digital wallets, payment platforms, lending systems, and trading
Share
Globalfintechseries2026/02/06 15:17