The U.S. Treasury has added three more companies to its sanctions list related to Babak Zanjani’s cryptocurrency network: ZEDX DMCC, ZedPay, and BZ Diamond.
On July 24th, the US Treasury Department expanded its sanctions to include businessman Babak Zanjani and his Dot One business network.
Treasury had previously sanctioned crypto exchanges Zedcex and Zedxion.
Now, the identified network includes activities like gold production, financial transactions, and shipping. TRM Labs, a blockchain analysis company, had previously noted connections to these groups in their earlier investigations.
New Entities Tied to Zanjani’s UAE Operations
ZEDX DMCC tops the newly designated list.
TRM Labs research shows that this Dubai-based company represents a growing trend of network activity moving to the UAE, and away from temporary businesses registered in the United Kingdom.
Dubai became the main business hub for the organization, and companies from the United Arab Emirates provided more reliable support and facilities compared to previous British firms.
ZedPay was identified as the payment system used by the network. Even before the sanctions were imposed, TRM Labs had connected ZedPay to the exchange’s underlying systems.
Records and branding clearly linked ZedPay to Zedxion and its associated companies. It seems payment processing was a central part of their business, not just an add-on.
BZ Diamond DMCC completes the list of recently identified companies based in the UAE. Public records link the precious metals company to Bahareh Zanjani.
The technology supporting this company has links to individuals already flagged within the broader network. This demonstrates that the Treasury Department is prepared to impose sanctions on companies beyond just those directly involved in cryptocurrency, if they assist related businesses.
Today, the Treasury Department’s Office of Foreign Assets Control (OFAC) increased sanctions against the network of Babak Zanjani, focusing on the business structures he uses to avoid existing sanctions.
Our previous research at TRM Labs uncovered several new companies of interest, including ZEDX DMCC, ZedPay, and BZ Diamond.
Full…
— TRM Labs (@trmlabs) July 24, 2026
Treasury Also Sanctions Network Personnel
Mehdi Rezazadeh, the CEO of ZedPay, was also sanctioned personally, in addition to the companies. TRM Labs had previously flagged him as a key person within the Zedxion network.
Records indicate Rezazadeh participated in online discussions about investing in mining operations across Africa, Russia, China, and Iran. Business filings in the UK also show he was previously involved with companies connected to this same group.
His designation signals a shift in enforcement strategy.
I’m seeing a big shift in how regulators are going after crypto firms. It’s no longer enough to target just the companies; they’re now focusing on the individuals *leading* those companies, holding them personally accountable. TRM Labs has uncovered evidence that shows a lot of overlap in who’s running different projects within the space – meaning if one gets hit, it could have ripple effects across several others.
Over a period of years, the same people appeared as leaders in multiple companies dealing with cryptocurrency, payments, and general business.
Read also: EU Targets Russian Crypto Platforms in New Sanctions Package
A Wider Web Beyond Crypto Exchanges
TRM Labs’ research revealed a pattern of companies repeatedly changing forms. UK-based businesses often became inactive or had their management replaced, with new companies then emerging in their place.
Throughout these shifts, branding and the underlying technology generally remained stable. TRM Labs observed that domain names and the people managing the technical side stayed consistent even as companies changed hands.
The network includes airlines, trains, trading of goods, travel agencies, and precious metals businesses. While each company seemed separate, they were all connected.
According to TRM Labs, their combined approach created a resilient network that minimized risks by operating across different industries and locations. This setup allowed the system to keep running even when specific companies came under investigation or shut down.
TRM Labs explained that this situation highlights the need for investigators to go beyond simply tracking wallets and exchanges. They recommend that compliance teams use blockchain analysis alongside research into the broader corporate and online backgrounds involved.
Groups like Zanjani’s need help from payment companies, shipping services, and reliable insiders to operate effectively. The U.S. Treasury Department’s recent actions show they recognize this broader pattern of how people try to bypass sanctions now.
2026-07-25 17:25