US State Department Offers $15 Million Reward to Target IRGC Crypto Financial Networks

The US Department of State has launched a $15 million bounty through its Rewards for Justice program to dismantle the financial infrastructure supporting Iran’s Islamic Revolutionary Guard Corps and its Qods Force. The initiative seeks intelligence on illicit revenue streams, including illegal oil sales, front companies, and the funding of proxy militant groups.

A key component of this effort is the focus on cryptocurrency-based sanctions evasion. The government is actively seeking information on digital asset exchanges that facilitate IRGC activities, signaling an increased regulatory focus on how crypto is utilized within sanctions evasion playbooks.

The Treasury Department has already taken steps to increase pressure, sanctioning 19 vessels and entities such as Amin Exchange. These actions align with a broader policy campaign that has been in place since the IRGC was designated a Foreign Terrorist Organization in 2019.

For the crypto industry, the move underscores the heightened risk for platforms that fail to maintain robust KYC and AML programs. Regulators have demonstrated a willingness to pursue enforcement actions against exchanges that facilitate transactions for sanctioned entities, regardless of their headquarters.

Informants can provide tips anonymously via encrypted channels like Signal and Tor. The government is offering relocation assistance in addition to the financial reward for actionable intelligence.

The increased scrutiny suggests that crypto businesses may face a heavier compliance burden. With the State Department offering an eight-figure reward for information regarding crypto-facilitated evasion, the pressure on exchanges and payment processors to ensure their screening processes are airtight has intensified.