U.S. Treasury Updates Sanctions, Targets Illicit Bitcoin Flows to Iran

The U.S. Treasury's OFAC is consolidating enforcement and penalties procedures into new Sanctions Penalties Regulations, amending the Terrorism List Governments Sanctions Regulations after Syria's rescission. Treasury Secretary Scott Bessent told the House Financial Services Committee that the G20 consensus, economic isolation efforts against Iran, and job creation demonstrate American leadership. The Treasury also welcomed the revised GloBE Information Return, noting it implements President Trump's views. Separately, the Treasury announced that BitBank, developer Pishtaz Simorgh, and three associates were designated under Operation Economic Outcast for moving hundreds of millions in Bitcoin to the IRGC.

The actions involve the application of U.S. financial controls, including OFAC sanctions, to the Iranian regime and the tracking of digital assets. The updates affect international tax compliance and the scope of U.S. sanctions policy regarding financial flows in the Middle East.