A Dubai-based cryptocurrency exchange processed at least $4 billion as part of a sprawling Iranian money-moving network tied to gambling websites, bitcoin mining, Iran’s central bank and sanctioned entities, a Reuters investigation found.

The exchange, Shelbit, operated from a modest Dubai office and served as the financial hub for more than 2,000 Farsi-language gambling websites. Reuters reported that at least $125 million moved through Shelbit from accounts linked to Iran’s central bank, while another $20 million was connected to suspected Iranian bitcoin-mining operations.

Investigators also traced approximately $676 million from Shelbit to Binance, including roughly $540 million transferred after Dubai regulators had already taken enforcement action against the exchange. Israeli authorities have linked some wallets connected to the network to the Islamic Revolutionary Guard Corps and the terrorist group Hezbollah.

Reuters found that the gambling operation was heavily promoted by Iranian social-media influencers living lavishly overseas, while users inside Iran placed bets through websites connected to the country’s tightly controlled payment system. One former investigator described the operation as the largest Iranian illegal gambling network ever uncovered.

Dubai’s Virtual Assets Regulatory Authority ordered Shelbit to immediately stop operating and is investigating suspected violations involving money laundering and terrorism financing. The U.S. Treasury told Reuters it was aware of the allegations and was taking them seriously.

The investigation also examined Iranian businessman Pouyan Mokhtari, who promoted gambling websites and was later arrested in Dubai on allegations that he financed Iranian terrorist groups operating outside the UAE. Mokhtari denied involvement in money laundering and terrorism financing and said he had been falsely accused.

Reuters said it could not determine who ultimately controlled the broader network or where much of the money ended up.

(YWN World Headquarters – NYC)