CoinEx Rejects Allegations Over Iran-Linked Crypto Flows
CoinEx denied any connection to the Iranian government after reports said wallets tied to Iran moved more than $3.84 billion through the exchange since 2019. The allegations put fresh attention on sanctions compliance and the role of offshore crypto platforms in cross-border flows.
What happened?
CoinEx denied any connection to the Iranian government after reports said wallets tied to Iran moved more than $3.84 billion through the exchange since 2019. The allegations put fresh attention on sanctions compliance and the role of offshore crypto platforms in cross-border flows.
Why it matters
CoinEx said it would review transactions linked to the Bybit hack, after investigators traced funds from the $1.5 billion theft through wallets connected to Iran’s central bank and onward through several platforms. The exchange previously exited the U.S. market after being fined by New York’s attorney general in 2023.
CoinEx has denied claims that it acted as a major gateway for sanctioned Iranian crypto activity, after blockchain data cited in reports said wallets linked to Iran moved more than $3.84 billion through the exchange since 2019. The Seychelles-based platform said it uses monitoring systems to detect risky activity and has begun limiting access from Iran, including blocking new users with Iranian IP addresses.
The development matters because it highlights a recurring compliance problem for global crypto exchanges: digital assets can move across jurisdictions faster than traditional financial controls can follow. The allegations also arrive as authorities continue to scrutinize how sanctioned entities and state-linked networks may use crypto infrastructure outside U.S. jurisdiction.
According to TRM Labs data cited in the reporting, CoinEx-hosted wallets received hacked crypto linked to Iran’s central bank and interacted with accounts U.S. officials have attributed to Iran’s Islamic Revolutionary Guard Corps. CoinEx founder Haipo Yang told The Wall Street Journal that the exchange has been widely used by Iranians but denied any connection to the Iranian government.
The reports also tied the issue to Nobitex, Iran’s domestic crypto exchange, which was sanctioned by the Trump administration earlier this month over allegations that it supported the Iranian government. Blockchain data cited in the coverage suggested CoinEx had become Nobitex’s largest foreign counterparty by 2024, after Binance tightened compliance measures in 2022.
CoinEx said it would review transactions linked to the Bybit hack, after investigators traced funds from the $1.5 billion theft through wallets connected to Iran’s central bank and onward through several platforms. The exchange previously exited the U.S. market after being fined by New York’s attorney general in 2023.