OFAC Sanctions Eight Canadian Crypto OTCs; Chainalysis Reports Iranian and Cartel-Linked Flows
Summary
OFAC designated eight Canadian money services businesses for allegedly facilitating Iranian regime transactions. Chainalysis says its analysis found inflows from sanctioned and IRGC-linked wallets and transfers to the Ryan Wedding Criminal Enterprise.
Key points
- OFAC designated eight Canadian money services businesses for allegedly facilitating financial transactions on behalf of the Iranian regime.
- Chainalysis reports more than $6 million in inflows from sanctioned jurisdictions, $3.7 million from sanctioned entities, and $2.3 million from wallets it attributes to terrorist-financing actors linked to the IRGC, Hamas, and the Houthis.
- The analysis links transfers to Iranian exchanges and wallets associated with sanctioned individuals, including Keyvan Fayyaz Gharen Blagh, described as an alleged IRGC-linked cyber threat actor.
- Chainalysis says transfers from Canadian OTCs, including Farah, reached the Ryan Wedding Criminal Enterprise through direct payments and intermediary wallets.
- The article describes a reported cash-to-digital-asset laundering pipeline in which couriers deliver bulk cash to exchange businesses for conversion and transfer overseas.
- The article says the same financial intermediaries served Iranian-linked networks and drug-trafficking organizations; these links are presented as Chainalysis findings, not independent confirmation of every transaction’s purpose.
Article Details
- Event Type
- OFAC designated eight Canadian over-the-counter money service businesses for allegedly facilitating transactions on behalf of the Iranian regime and other sanctioned actors. Chainalysis also reports that the businesses’ transfers connected to drug-trafficking networks.
- Impact
- Chainalysis identified more than $6 million in inflows from sanctioned jurisdictions, approximately $3.7 million from sanctioned entities, and an additional $2.3 million from wallets attributed to terrorist-financing actors. It also reported more than $6.8 million in transfers to the Ryan Wedding Criminal Enterprise, including a reported $2 million sent directly by Farah to wallets associated with the organization. The article describes the OTCs as financial intermediaries used to move and obscure illicit funds.
People
Threat Actors
Islamic Revolutionary Guard Corps (IRGC)The article reports that cyberattacks and hacking and extortion operations by Keyvan Fayyaz Gharen Blagh were conducted at the IRGC’s behest, and links wallets associated with the IRGC to the OTCs’ inflows.Keyvan Fayyaz Ghareh BlaghThe article describes him as an alleged cyber threat actor working on behalf of the IRGC and reports his involvement in hacking and extortion operations. This involvement is presented as reported, not independently confirmed.
Countries
Canadaactors, while outgoing transfers flowed to illicit criminal enterprises, including affiliates of the Canada-based Wedding Criminal Enterprise, which was led by former Olympic snowboarder Ryan Wedding. Wedding wasColombiatransnational criminal enterprise responsible for moving massive quantities of cocaine from Colombia through Mexico and into the United States and Canada.Iranregime. The designations mark a first-of-their-kind focus on Canadian crypto and OTC providers as part of Iran’s illicit financial infrastructure.Mexicocriminal enterprise responsible for moving massive quantities of cocaine from Colombia through Mexico and into the United States and Canada.United StatesThe U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) designated eight Canadian money services businesses for facilitating financial transactions on behalf of the Iranian regime. The designations
Industries
Communications technologythe IRGC. He also participated in cyberattacks against several U.S. defense companies, a U.S. communications technology provider, a Saudi energy company, and other targets.Defenseand media company at the behest of the IRGC. He also participated in cyberattacks against several U.S. defense companies, a U.S. communications technology provider, a Saudi energy company, and other targets.Energycyberattacks against several U.S. defense companies, a U.S. communications technology provider, a Saudi energy company, and other targets.Entertainment and mediaIran-based Mabna Institute, he was involved in hacking and extortion operations targeting a U.S. entertainment and media company at the behest of the IRGC. He also participated in cyberattacks against several U.S.