The Treasury expanded sanctions over Iran’s cryptocurrency sector on Aug. 24, giving OFAC broader authority to target foreign companies and individuals tied to the country’s digital asset industry. The new determination places digital assets among additional sectors covered under Executive Order 13902. Technology, gold, aviation and shipping are also listed.
The move came alongside sanctions against nearly 60 entities, individuals and vessels connected to Iran-linked nuclear, missile, cyber and oil networks. Treasury also accused Ivan Obukhov, a Ukrainian national based in the UAE, of processing more than $100 million in cryptocurrency for oil sales linked to Iran’s Islamic Revolutionary Guard Corps-Quds Force.
A broader sanctions net
OFAC can now sanction any person determined to operate in Iran’s digital asset sector or provide services that support it, no matter where that person is located. The determination took effect on Aug. 24. That does not mean every crypto company serving Iranian users gets hit automatically. OFAC still has to identify and designate specific parties before blocking measures apply. But the new rule creates a legal basis for future designations.
Treasury described digital assets as an increasingly common tool for moving money outside conventional banking channels. The sectoral approach makes it easier to go after brokers, payment processors, wallet operators and technology providers, not just exchanges based in Iran.
The $100 million oil payment claim
According to Treasury, Obukhov worked as a broker for vessels carrying Iranian oil and facilitated shipments for Iran’s military and associated groups. Since 2023, he allegedly processed more than $100 million in cryptocurrency payments for oil sales tied to the IRGC-Quds Force. Treasury also sanctioned Foscom FZE, the UAE-based company Obukhov owns and manages.
The government did not publish wallet addresses, transaction hashes, token breakdowns or named counterparties supporting the $100 million figure. So the amount remains an allegation, not an independently verified on-chain total.
What this means for crypto businesses
All property and interests in property belonging to designated parties must be blocked if they come under U.S. control. Companies that are 50% or more owned by blocked parties are also covered. U.S. persons cannot transact with designated parties unless OFAC issues an authorization. Foreign financial institutions that knowingly facilitate major transactions may face restrictions on U.S. correspondent accounts.
Enforcement keeps building
This action is part of a wider campaign Treasury calls Operation Economic Outcast. It also follows earlier designations. In June, OFAC sanctioned Nobitex, Wallex, Bitpin and Ramzinex as part of an alleged $4 billion sanctions-evasion network. On Aug. 7, Shelbit and Aban Tether were designated for processing about $5 million involving sanctioned Iranian platforms.
The earlier cases targeted identifiable exchanges and transactions. The new sectoral determination is broader because it allows OFAC to sanction people based on their participation in Iran’s digital asset economy. Treasury said the Aug. 24 measures begin a sustained enforcement campaign, so more designations could follow.
