Major Cryptocurrency Exchange and Gambling Network Linked to $4 Billion Iranian Sanctions Evasion Operation

Major Illegal Gambling Network Linked to Iranian Sanctions Evasion: $4 Billion Laundered Through Dubai Exchange

Dubai, UAE — A sprawling network of over 2,000 illegal gambling websites has been implicated in a massive sanctions-evasion operation, reportedly moving at least $4 billion through a Dubai-based cryptocurrency exchange known as Shelbit. This revelation, reported by Reuters on July 31, raises significant concerns about the intersection of cryptocurrency, gambling, and international sanctions.

Shelbit, an unlicensed exchange operated by expatriate Iranian Siavash Kayvanpour, is registered in a modest office above a budget hotel in Dubai. Since May 2024, blockchain data analyzed by crypto investigative firms has traced at least $4 billion in transactions through Shelbit, which has direct ties to Iran’s central bank and wallets associated with the Islamic Revolutionary Guard Corps (IRGC).

The exchange has also been linked to Nobitex, Iran’s largest cryptocurrency platform, which was sanctioned by the United States in June. Notably, Shelbit processed at least $125 million connected to Iran’s central bank and transferred approximately $676 million to Binance, the world’s largest cryptocurrency exchange.

The gambling network, primarily operating in Farsi, has been promoted by Iranian influencers Sasha Sobhani and Pooyan Mokhtari, who flaunt their wealth through social media, showcasing supercars, private jets, and lavish yacht parties. Despite their high-profile lifestyles, both influencers, along with Kayvanpour, were convicted in 2023 by an Iranian court for their roles in the illegal gambling operation, which is strictly prohibited in Iran.

In a surprising twist, Sobhani and Mokhtari have denied any involvement in money laundering or sanctions evasion, claiming ignorance of any Iranian state connections to their activities. They also stated they had no knowledge of Kayvanpour or Shelbit.

The IRGC has reportedly controlled Iran’s largest online gambling sites for years, utilizing the sector to facilitate money transfers abroad. However, it remains unclear whether the IRGC directly oversees Shelbit or the broader gambling network. Investigators have yet to determine the ultimate destination of much of the cryptocurrency involved.

Miad Maleki, a former associate director at the U.S. Treasury’s Office of Foreign Assets Control, commented on the situation, stating, “When it comes to gambling, the IRGC learned the Islamic Republic’s most lucrative lesson early: declare something illegal, then control both the prohibition and the black market.”

In response to these developments, Dubai’s Virtual Assets Regulatory Authority has launched an investigation into Shelbit’s alleged role in money laundering and sanctions evasion. The authority had previously taken action against Shelbit in 2025 for operating without a license and issued a new notice on July 24, mandating the company to cease all unlicensed virtual-asset activities.

As international scrutiny intensifies, a bipartisan group of U.S. senators has also reached an agreement on sanctions legislation targeting both Russia and Iran, which could authorize President Donald Trump to impose steep tariffs on Russian imports and those aiding in sanctions evasion.

The unfolding story highlights the complex web of illegal activities that intertwine cryptocurrency, gambling, and international sanctions, raising critical questions about regulatory oversight and the effectiveness of current measures to combat such operations. As investigations continue, the implications of this network could reverberate across global financial systems.