Babak Zanjani is facing renewed scrutiny after allegations tied him to large crypto transfers that may have helped Iran bypass international sanctions.
The US-sanctioned businessman allegedly used Binance-linked accounts and his crypto business Zedcex to move about $850 million over two years. Investigators believe nearly half of that amount supported Iranian military and Islamic Revolutionary Guard Corps operations.
Crypto Transfers Draw Fresh Attention
Compliance documents, blockchain analysis, and law enforcement information reportedly showed deposits and withdrawals moving through one main trading account. The account was active for at least 15 months, while some reports said the wider activity covered two years.
Investigators believe about $425 million from the transactions was linked to Iran’s military network. The activity was allegedly connected to Zedcex, which handled proceeds from Iranian oil sales through banks in Turkey before funds reached Binance accounts tied to its Dubai subsidiary.
The funds were later moved to other platforms, including Nobitex in Iran, where they could be converted into rials. Reports also alleged that accounts linked to Zanjani’s sister, girlfriend, and company director shared devices during access.
Binance Red Flags Raise Questions
Internal investigators reportedly flagged Iranian links, Tehran access points, and related risks during account reviews. However, the transactions allegedly continued despite those warnings, and the main account was described as still active.
Binance has already faced questions over Iranian financial activity despite earlier compliance promises. Separate claims say Iran’s central bank moved $107 million through Binance accounts in 2025, while direct transactions with the exchange reached $260 million between 2024 and 2025.
Zanjani’s role in sanctions evasion is not new. The United States sanctioned him in 2013 for allegedly using a Malaysian bank to move billions of dollars for Iran. Those sanctions were suspended after the 2016 nuclear agreement but were reinstated in 2026 over alleged crypto-related financial transfers to the IRGC and Zedcex activities.
Iran Expands Digital Asset Strategy
Zanjani was sentenced to death in Iran in 2016 over embezzlement claims, but that sentence was overturned in 2024. He remains in a legal dispute with Iran’s central bank over unpaid loans.
In December, Zanjani posted wallet addresses on social media, which reportedly exposed parts of a sanctions avoidance structure linked to Nobitex.
He has described himself as an anti-sanction operator and an economic Basij soldier, while his spokesman denies money laundering and sanctions evasion allegations.
Iran is estimated to hold $7.7 billion in crypto assets as sanctions pressure continues. US authorities have frozen nearly $500 million linked to Iran, while officials warn that the IRGC uses digital assets for funding, oil payments, and wider financial access across restricted payment channels.
