U.S. Sanctions Target Digital Asset Exchanges, Individual and Firms Linked to Iranian Financial Activity

Why it matters locally: While the immediate direct impact on California is not explicitly detailed, the state's significant technology and financial sectors may experience indirect effects as digital asset regulations evolve in response to national security measures.

WASHINGTON – The United States on Thursday announced sanctions against six entities and one individual. These measures target two digital asset exchanges and a network of companies, along with its leader, operating across multiple jurisdictions. Thomas Pigott, a spokesperson, stated that the Iranian government uses various channels, including digital asset exchanges, to move funds. The U.S. government implemented these sanctions under Executive Order (E.O.) 13902, which addresses Iran's financial and petroleum sectors, and E.O. 13224, a counterterrorism authority. The U.S. Treasury Department released additional details regarding the sanctions. The U.S. State Department's Rewards for Justice (RFJ) program also announced an offer of up to $15 million. This reward is for information that leads to the disruption of financial mechanisms associated with Iran's Islamic Revolutionary Guard Corps (IRGC) and its branches. These actions follow recent incidents involving commercial vessels in the Strait of Hormuz.