Iran’s Nobitex in Sanctions Storm: Kharrazi Brothers Tied to Regime?

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Iran crypto giant Nobitex hit by sanctions questions: Reuters

Nobitex, Iran’s biggest cryptocurrency exchange, is under investigation after Reuters revealed it was started by two brothers from the prominent Kharrazi family, who used a different last name when founding the platform.

Summary

  • Reuters said Nobitex was founded by brothers from a powerful political family under another surname.
  • Nobitex denied state links while investigators cited transactions tied to sanctioned Iranian entities and users.
  • Crypto withdrawals from Nobitex rose sharply after Tehran strikes, though analysts differed on the cause.

My research has revealed a surge in cryptocurrency activity originating from Iran, coinciding with periods of heightened conflict. I’ve investigated Nobitex, a major exchange, and they’ve firmly stated they have no affiliations with the government and do not provide assistance to state entities.

In 2018, Ali and Mohammad Kharrazi launched Nobitex, initially operating under the name Aghamir. According to reports, the brothers come from a prominent Iranian family with strong connections to both the government and religious authorities.

Nobitex is now the biggest cryptocurrency exchange in Iran. According to Reuters, the company says it has 11 million users and processes around 70% of all crypto transactions in the country.

Exchange denies state connection

According to Reuters, records from blockchain technology and interviews suggest that transactions are connected to Iranian organizations facing sanctions, such as the central bank and the Islamic Revolutionary Guard Corps. The report indicates Nobitex is now involved in an alternative financial network operating outside of traditional banking systems.

Nobitex has denied any connection to the Iranian government. In a statement to Reuters, the company stated it is a privately owned and operated business with no ties or agreements with the IRGC, Iran’s central bank, or any other government organizations.

My analysis of the report reinforces existing worries about cryptocurrency being used in countries under sanctions. Specifically, Reuters reported that blockchain data and investigations suggest Nobitex has been facilitating the movement of funds outside of traditional Western financial systems.

Nick Smart, an executive at Crystal Intelligence, explained to Reuters that Nobitex poses a compliance challenge because it’s difficult to distinguish between regular Iranian users and those connected to the government on the platform. He noted that it’s “challenging to differentiate between the government and the people.”

Outflows rose after Tehran strikes

Increased attention is being paid to crypto activity in Iran following recent airstrikes by the U.S. and Israel. Crypto.news noted a dramatic surge in withdrawals from Nobitex – over 700% – immediately after the attacks.

Following the initial attacks, analysis of blockchain data revealed users quickly withdrew over $500,000. This amount increased significantly, reaching almost $3 million between February 28th and March 1st.

According to Crypto.news and data from Elliptic, Nobitex allows users to exchange Iranian rials for cryptocurrency and then transfer those funds to wallets outside of Iran. This provides a way for people to send money internationally when traditional banking options are restricted.

TRM Labs offered a more reserved perspective, suggesting the observed activity could be due to a decrease in transactions caused by internet outages, and not necessarily people withdrawing their money. Internet access in Iran dropped by roughly 99% following the start of the recent events.

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2026-05-03 12:30