DUBAI (VINnews,)-A vast illegal Iranian gambling operation moved at least $4 billion through an unlicensed Dubai-based cryptocurrency exchange called Shelbit, according to a Reuters investigation published Friday.

Shelbit, operated by an Iranian expatriate from an office above a budget hotel in Dubai’s Deira neighborhood, served as a central hub for the network. Blockchain data reviewed by Reuters and cryptocurrency investigators showed the exchange processed funds for a Farsi-language network spanning more than 2,000 websites. It also interacted with Iran’s central bank, the sanctioned Iranian exchange Nobitex, wallets linked by Israel to the Islamic Revolutionary Guard Corps, and Iranian bitcoin mining operations.

Tens of millions of dollars from the gambling sites flowed through Shelbit, with at least $676 million moving from Shelbit-linked addresses to Binance, the world’s largest cryptocurrency exchange, since May 2024. The network was fronted by two Iranian influencers, Sasha Sobhani and Pooyan Mokhtari, who promote lavish lifestyles and were previously convicted in Iran in connection with illegal gambling. Gambling is banned under Iranian law.

Investigators and analysts described the operation as one of the largest Iranian sanctions-evasion schemes uncovered in recent years, highlighting how cryptocurrency has enabled access to global markets despite restrictions.

Dubai’s Virtual Assets Regulatory Authority has ordered Shelbit to cease operations for operating without a license and potential money-laundering violations. Binance said it investigated and reported related accounts. The Iranian government, Shelbit’s operator and the influencers have denied involvement in sanctions evasion or state-linked activities.