In short
- A report from TRM Labs has discovered that two firms registered within the UK have been transferring billions of {dollars} in stablecoins with a view to fund Iran’s Islamic Revolutionary Guard Corps.
- The 2 firms had been based in 2021 and 2022, and function as a single enterprise, registering the identical handle and submitting very comparable monetary experiences.
- Specialists affirm that the actions of the 2 crypto-exchanges provide a sign of how intensive Iran’s sanctions evasion community is, and of simply how a lot it’s counting on crypto.
Two crypto-exchanges firms registered in the UK have been transferring billions of {dollars} in stablecoins on behalf of Iran’s Islamic Revolutionary Guard Corps (IRGC), in line with a brand new report from TRM Labs.
Launched as a part of TRM Labs’ 2026 Crypto Crime Report, the report identifies Zedcex and Zedxion, which marketed themselves as standard cryptocurrency exchanges.
But in follow, TRM Labs discovered that each firms operated as a single entity, working to maneuver cryptocurrencies internationally as a part of Iran’s sanctions evasion community.
Analysts for the blockchain intelligence agency found that, in 2023, $23.7 million in crypto was moved through Zedcex and Zedxion pockets addresses linked to the IRGC, amounting to 60% of all exercise for each exchanges.
This determine rose by 2,500% to $619.1 million in 2024, accounting for 87% of all Zedcex and Zedxion transactions, whereas in 2025 it dipped to $410.4 million.
Zedcex and Zedxion
The registration filings for Zedcex and Zedxion point out that each companies are presently lively, though their obtainable monetary accounts belie the amount of funds they allegedly course of on behalf of the IRGC.
Zedxion additionally lists a Babak Morteza as its director between October 2021 (when it was integrated) and August 2022, with a Babak Morteza Zanjani having been sanctioned in 2013 by the U.S. for having moved “billions of {dollars}” for the Iranian authorities.
TRM Labs notes that Zedcex was integrated on August 22, 2022, just a few days after Morteza resigned from his place as director of Zedxion, with each firms sharing the identical registered handle and in addition documenting comparable belongings of their monetary statements.
Apart from highlighting Morteza’s function, the report from TRM Labs additionally explains how Zedcex and Zedxion are a part of a wider community that allows Iran to evade sanctions.
Firm data present that Zedxion was built-in with Zedpay, a Turkey-based cellular funds supplier that had working relationships with Turkish monetary companies, together with some that had seen their licenses suspended after anti-money laundering violations.
On-chain analytics additionally revealed that funds flowing from Zedcex-linked rails finally discovered their solution to a few of Iran’s greatest crypto-exchanges, together with Nobitex (which was hacked in June) and Wallex.
Equally, $10 million in funds was traced as reaching Sa’id Ahmad Muhammad al‑Jamal, a sanctioned particular person who has beforehand offered monetary assist to the IRGC and who has allegedly managed a smuggling community on behalf of the Houthis in Yemen.
“This isn’t opportunistic crypto misuse—it’s a sanctioned army group working exchange-branded infrastructure offshore,” stated Ari Redbord, International Head of Coverage at TRM Labs.
Redbord stated that Zedcex is a first-rate instance of how crypto can be utilized as a parallel monetary system, one which obscures possession and licensing with a view to allow illicit flows.
“Essentially the most vital danger right here isn’t a single transaction—it’s who controls the platforms themselves,” he stated. “This case highlights why sanctions enforcement in crypto should transfer upstream to concentrate on infrastructure, governance, and possession.”
Iran and crypto
Different blockchain intelligence companies additionally observe the necessary function that crypto has been taking part in for Iran, each by way of evading sanctions and by way of funding terrorism.
“We're monitoring vital use of cryptoassets by Iran for sanctions evasion, specifically the USDT stablecoin,” stated Tom Robinson, co-founder and chief scientist at UK-based analytics firm Elliptic.
Chatting with Decrypt, Robinson famous that Elliptic shares its intelligence on Iranian use of crypto with its shoppers, with a view to guarantee “that they aren't exploited as a part of this exercise."
He additionally famous June’s assault towards Nobitex, which Israel-linked hackers focused “as a key regime device ‘for financing terrorism and violating sanctions’.”
The nation's Ministry of Defence export heart not too long ago started accepting crypto as fee for superior weapons, with Chainalysis noting that cryptocurrency features as an "various fee rail to facilitate cross border commerce" within the face of sanctions.
Iran is presently gripped by protests towards the regime which have seen some 650 protestors killed, in line with human rights teams, whereas the nation's web site visitors has dropped to "close to zero" amid a nationwide shutdown. On prediction market Myriad, owned by Decrypt's mum or dad firm Dastan, customers place a 60% likelihood on the regime remaining in place via October.
