Inside Iran’s Largest Crypto Exchange: Sanctions Evasion And Close Ties To The New Supreme Leader

A new Reuters investigation has raised serious questions about Iran’s largest cryptocurrency exchange, Nobitex, describing it as a major channel in a parallel financial system that helps money move around US sanctions—using both the country’s security-linked institutions and everyday users.

Even more concerning, the report says the exchange is controlled by two sons from the influential Kharrazi family, a powerful political and clerical clan closely connected to Iran’s new supreme leader. 

Reuters reports that ordinary Iranians have turned to the platform as they face a “weak rial and persistent inflation,” along with barriers that make traditional banking less accessible. 

At the same time, Reuters says the exchange has processed transactions worth between “tens of millions and hundreds of millions of dollars” connected to sanctioned groups, including Iran’s central bank and the Islamic Revolutionary Guard Corps (IRGC).

Reuters based parts of this claim on blockchain analysis carried out by Crystal Intelligence, as well as interviews with four private financial investigators. To understand how the exchange operates in practice, Reuters spoke with nine Iranians who said they worked for or with Nobitex.

Nobitex disputes that account, telling Reuters there had never been any agreement with any Iranian government agency, and that none of the employees interviewed by Reuters knew of one.

In its response, Nobitex said it has instead faced significant operational restrictions imposed by the Iranian government. The exchange cited office raids, domain blocking, and closures of banking gateways. Nobitex argued that these actions are inconsistent with the idea that it receives governmental support.

Notably, Iran’s largest crypto exchange continued processing transactions during the war between the US and Israel, which began on February 28, and operated even during a government-imposed nationwide internet shutdown and widespread power outages in Tehran. 

According to three blockchain analysis firms that track activity involving Nobitex and other crypto exchanges, Nobitex handled more than $100 million in transactions during that time—about 20% of its usual activity. 

Featured image from OpenArt, chart from TradingView.com