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U.S. Sanctions Two UK Crypto Exchanges for Operating in Iran’s Financial Sector

The move shifts enforcement from tagging wallets to naming entire platforms tied to IRGC-linked flows.

Overview

  • OFAC designated Zedcex Exchange Ltd. and Zedxion Exchange Ltd., blocking U.S.-linked assets and prohibiting U.S. persons from transacting with them.
  • The Treasury said this is its first action naming digital asset exchanges for operating in Iran’s financial sector.
  • Seven Tron addresses associated with Zedcex were listed, including overlaps with wallets Israel’s NBCTF previously attributed to the IRGC.
  • Officials cited that one exchange processed more than $94 billion in transactions since 2022 and noted links to Iranian businessman Babak Morteza Zanjani.
  • The action accompanied sanctions on senior Iranian officials over protest repression and is prompting crypto firms to tighten compliance reviews.