How Iran’s Top Crypto Exchange Moved Sanctioned Funds
News Desk
Teheran: A new investigation by Reuters has shed light on how a discreet network tied to one of Iran’s most influential families may have transformed a domestic cryptocurrency platform into a powerful financial conduit, capable of moving millions of dollars beyond the reach of international sanctions.
At the center of the report is Nobitex, described as Iran’s largest crypto exchange. What began as a start-up has, according to the investigation, evolved into a parallel financial system, used not only by ordinary Iranians coping with inflation and currency collapse, but also by sanctioned state institutions, including the Islamic Revolutionary Guard Corps (IRGC) and the Central Bank of Iran.
A Family at the Core
The platform was founded by two brothers, Ali Kharrazi and Mohammad Kharrazi, members of the powerful Kharrazi family, which has longstanding ties to Iran’s ruling elite. To obscure their lineage, the brothers reportedly used the surname “Agha Mir” in company records and internal dealings.
The Kharrazi family’s influence spans generations, with connections to Iran’s top leadership, including Ayatollah Ruhollah Khomeini, Ali Khamenei, and current Supreme Leader Mojtaba Khamenei.
Their father, Ayatollah Baqir Kharrazi, is also a prominent cleric and political figure.
Crypto as a Sanctions Workaround
According to Reuters, Nobitex controls nearly 70% of Iran’s crypto transactions and claims to have over 11 million users, more than 10% of the population.
For many citizens, the platform provides a lifeline amid financial isolation. But investigators allege it also serves a more covert function.
Former employees cited in the report claim they witnessed sanctioned funds passing through the exchange. Blockchain analysis linked wallets associated with Nobitex to transactions involving blacklisted entities.
Notably, data suggests that at least $20 million tied to the central bank was routed through the platform, with total transfers estimated at $347 million between late 2024 and mid-2025.
The exchange is also reported to have processed around $7.8 billion in transactions with Binance, raising further concerns about sanctions compliance. To avoid detection, Nobitex allegedly rotated wallet addresses and used obfuscation technologies designed to mask transaction trails.
Denials and Disruptions
Nobitex has firmly denied any links to the Iranian government or military. In a statement to Reuters, the company described itself as “a private and independent business,” adding that any illicit transactions would have occurred without its knowledge.
Still, questions persist, particularly given that neither the company nor the Kharrazi family has been sanctioned by the United States or its allies.
The report also reveals that Iran’s sanctions-evasion ecosystem came into sharper focus after imprisoned tycoon Babak Zanjani publicly shared crypto wallet addresses on social media.
These disclosures helped analysts trace financial flows back to Nobitex.
A System Under Pressure
The investigation emerged at a time of heightened internal consolidation in Iran, following the assassination of Ayatollah Ali Khamenei, a development that has reportedly strengthened the grip of the Revolutionary Guards over the country’s economy and security apparatus.
Even Nobitex itself has not been immune to pressure. In 2021, authorities raided its offices and arrested then-CEO Amir Hossein Raad, who later described the incident as a “side effect” of operating in Iran’s complex political and regulatory environment.
Global Implications
The findings have sparked concern in Washington. US Senator Elizabeth Warren warned that the case highlights how sanctioned states may be leveraging digital assets to bypass the traditional financial system dominated by the United States.
As geopolitical tensions persist and financial restrictions tighten, the alleged use of cryptocurrency platforms like Nobitex points to a broader shift: the emergence of decentralized finance as both a survival tool for citizens, and a strategic instrument for states under sanctions.
While the full extent of these operations remains under investigation, the report underscores a critical challenge for global regulators: tracking money in a system designed to evade scrutiny.
