UK Cracks Down on Crypto Exchange with a Side of Fake IDs and Big Military Money

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So, it turns out that a UK crypto exchange has been moonlighting as a cash register for Iran’s military. Who knew? A blockchain analytics firm just casually discovered that a whopping 90% of the money processed by this exchange in 2024 was linked to Iran’s most illustrious military organization. I can hear the compliance officers gasping from here.

A Billion Dollars And A Fake Boss

TRM Labs, the cryptocurrency detectives of our time, reported that Zedxion Exchange and its partner-in-crime, Zedcex, were responsible for moving around $1 billion tied to Iran’s Islamic Revolutionary Guard Corps (IRGC). What a surprise! I thought they were just selling virtual cupcakes.

In 2024, payments connected to the IRGC made up about 87% of all transactions. But don’t worry, that number fell to a measly 48% in 2025. I guess they were just trying to diversify their portfolio-into war crimes, perhaps?

And guess what? The UK has decided to shut this little operation down. Shocking, right?

Britain’s Companies House, aka the business babysitters, has initiated a compulsory strike-off against Zedxion Exchange Ltd. They claim the company filed false information, including a director who, spoiler alert, doesn’t actually exist. Talk about a creative resume!

Crypto Exchange Image

Stock Photo, Fake Name, Real Money

This imaginary director went by the totally believable name Elizabeth Newman, supposedly hailing from the Dominican Republic. Can we get her on Cameo? An investigation by the Organized Crime and Corruption Reporting Project (OCCRP) found that her image in marketing videos was traced back to a stock photo. Wow, she really is the perfect employee-no salary required!

Fake Director Image

Before Elizabeth graced the company records, a charming gentleman named Babak Morteza held the director position. His details were eerily similar to Babak Zanjani, an Iranian businessman who had previously received a death sentence for stealing state oil funds. Nothing says ‘trust me’ like a guy who has danced with death over a few bucks!

Lucky for him, his sentence was miraculously reduced in 2024, and he was back in business faster than you can say “financial shenanigans.” Morteza was listed as the director of Zedxion from October 2021 to August 2022. Talk about a glow-up!

Zanjani also allegedly heads DotOne Holding Group, which operates in sectors like cryptocurrency, foreign exchange, logistics, and telecommunications-the perfect recipe for dodging international sanctions. I mean, who needs a legitimate business plan when you have this much creativity?

Washington Acted First

Washington didn’t let the UK steal all the thunder. They acted first with sanctions in January from the Treasury Department’s Office of Foreign Assets Control (OFAC). Both Zedxion and Zedcex were named in that action, with OFAC declaring that Zanjani helped fund projects supporting the IRGC. Just your average Tuesday in the world of finance!

Company filings for the two exchanges revealed some sleepy dormant accounts, which is funny considering the massive transaction volumes analysts have traced through them. Maybe they were just napping on the job?

The UK, in a rare moment of clarity, passed the Economic Crime and Corporate Transparency Act in 2023. This gem gave Companies House new powers to verify directors’ identities and ensure businesses were not fronts for shady dealings. The Zedxion case is just one of those wild adventures made possible by this newfound authority.

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2026-03-21 08:11