US Sanctions Bitcoin Exchange for Handling Iran's Hormuz Transit Fees
The U.S. Treasury sanctioned BitBank, an Iranian bitcoin exchange used by Hormuz Safe Marine Services Authority to process payments for the IRGC's Strait of Hormuz transit-fee scheme. It also sanctioned Pishtaz Simorgh Electronic Trade Company, the developer of BitBank's software, and three executives of Zanjani's digital finance empire. According to OFAC, BitBank moved hundreds of millions of dollars in Bitcoin to the IRGC at Zanjani's instruction.
Why it matters: This action illustrates the theme of sanctions evasion through cryptocurrency and maritime front companies.