Dubai-based Shelbit processed at least $4 billion for Iranian gambling network, Reuters reports

Shelbit, an unlicensed cryptocurrency exchange operating out of Dubai, processed at least $4 billion since May 2024 as the financial backbone for more than 2,000 illegal Iranian gambling websites and other Iranian-linked entities, in what Reuters described as one of the largest sanctions-evasion schemes uncovered since 2016. Investigators traced roughly $676 million in identifiable transactions from Shelbit-linked crypto wallets to Binance and reported links to the Iranian central bank, Nobitex and entities tied to the Islamic Revolutionary Guard Corps. The gambling operation was promoted by influencers Sasha Sobhani and Pooyan Mokhtari and involved associate Siavash Kayvanpour. Sobhani, Mokhtari and Kayvanpour were convicted in 2023 for illegal gambling activities, but the network continued operating, with at least $250 million previously tied specifically to those sites flowing through Shelbit. Reuters said the exchange converted and transferred crypto to help users reach global financial markets despite sanctions, reflecting a broader pattern in which online gambling was integrated into Iran's payment channels. Dubai's Virtual Assets Regulatory Authority issued a cease-and-desist order against Shelbit on July 24, 2026 after earlier enforcement actions in 2025, citing unlicensed activity, money laundering and potential terrorism financing connected to the IRGC. Binance said Shelbit did not hold a direct account on its platform and that it froze and reported any accounts linked to the network. The case is likely to deepen scrutiny of compliance controls at major exchanges and of Dubai's position as a crypto hub competing for institutional capital.