Treasury Sanctions MEXC and Eight Canadian Firms Over Iran Money Flows

The US Treasury moved on two fronts against Iran's money machine on Friday, November 6, 2026, sanctioning eight Canadian money services firms accused of serving sanctioned Iranian entities and cutting crypto exchange MEXC Global off from the American financial system over at least $16 billion in illicit flows. The twin actions widen Washington's crackdown far beyond Iran's borders, from currency exchanges in Ontario and British Columbia to a major global crypto platform.

Key Points

• The US Treasury sanctioned eight money services businesses in Canada on Friday, November 6, 2026, alleging they served sanctioned Iranian entities.
• The firms are now cut off from the dollar-based financial system, with any US assets blocked and dealings with US persons prohibited.
• FinCEN separately ordered crypto exchange MEXC Global cut off from the US financial system under Operation Economic Outcast.
• FinCEN says MEXC facilitated at least $16 billion in illicit transactions between May 2021 and May 2026, including about $1 billion with more than 40 Iranian crypto exchangers.

What Happened

The Treasury Department announced the sanctions on Friday, naming eight money services businesses based in Canada that it alleges facilitated transactions with sanctioned Iranian entities. They are Diverse Trade Inc, which does business as Million Exchange; 1380079 BC Ltd; Top PC Technician Inc; NIA Nations Currency Ltd; 2397639 Ontario Ltd, which does business as Farah Exchange; CCC Inc; B Galaxy Inc; and Darvish Exchange, operating in Ontario and British Columbia.

Under the sanctions, the firms are effectively cut off from the dollar-based financial system. Any assets they may hold in the United States are blocked, and US persons and companies are barred from dealing with them. It is the latest in a series of Treasury moves against firms abroad that Washington says help Iran evade American sanctions.

Separately the same day, the Financial Crimes Enforcement Network, known as FinCEN, ordered convertible virtual currency exchanger MEXC Global cut off from the US financial system. The order prevents US financial institutions from processing fund transfers involving MEXC, which FinCEN says facilitated at least $16 billion in illicit transactions linked to sanctions evasion by Iran, North Korea and Russia.

Background and Context

The dual action sits inside a much larger campaign. Just two days earlier, on Wednesday, November 4, the Treasury sanctioned an Indian maritime network accused of giving Iran's so-called shadow fleet false flags, naming operators in Chandigarh and nine entities in a case also brought under Operation Economic Outcast. The campaign aims to push Iran's sanctions-evasion networks out of the global financial system entirely. Read more: US sanctions Iran shadow fleet network in India over false-flag fraud

The pressure comes as the war between the United States and Iran enters its ninth month. The conflict began on February 28, 2026, and has swung between American and Israeli strikes on Iranian military and nuclear sites and fitful diplomacy. Vice President JD Vance said on Monday, November 2, that Washington had made progress in talks with Tehran and set no deadline for a deal, while President Donald Trump has said an agreement is coming together. The Treasury actions show that, even as negotiators talk, the financial squeeze on Tehran is tightening.

Treasury Sanctions MEXC Over $16 Billion in Illicit Crypto Flows

The MEXC order is the more far-reaching of the two actions. FinCEN says the exchange facilitated at least $16 billion in illicit transactions between May 2021 and May 2026. Nearly $1.5 billion was tied to Russian sanctions evasion, and about $1 billion flowed in direct transactions with more than 40 Iranian crypto exchangers. MEXC also handled about $22 million in transactions for Iran's Central Bank and the Islamic Revolutionary Guard Corps' Qods Force, the elite unit that runs Tehran's foreign operations.

Most striking is that the activity continued into this year. FinCEN says MEXC was still processing trades with Garantex, a sanctioned Russian crypto exchange, and its successor Grinex as recently as June 2026. For ordinary crypto users, the order means American banks and payment firms must refuse any transfer involving MEXC once the ban takes effect. The Seychelles-incorporated exchange has long marketed itself to traders around the world, and the order will force US financial institutions to screen for its wallets and accounts.

Reactions and Quotes

Treasury Secretary Scott Bessent left no doubt about the message to Ottawa. "Canada cannot be a safe haven for illicit financial facilitators that provide sanctions evasion services to the Iranian regime and its proxies," Bessent said. "Treasury will pursue and disrupt the Iranian regime's financial channels anywhere in the world."

Treasury said the actions continue its series of moves against firms outside the United States that help Iran circumvent sanctions. The action also fits the administration's broader posture: while Vice President Vance has spoken of progress in negotiations, the Treasury's enforcement arm has kept moving, suggesting the financial campaign will continue in parallel with any talks. Read more: Vance says US-Iran talks are making progress, with no deadline for a deal

Why It Matters

The two actions matter because they attack Iran's money flows at both ends of the spectrum. The Canadian firms represent the old-fashioned side of sanctions evasion: small, licensed-looking money transmitters that move cash and wires for people cut off from the formal banking system. MEXC represents the new side: a global crypto exchange that can move billions across borders in minutes, outside the correspondent banking network that American sanctions traditionally police.

Naming both in a single day, the Treasury signals that no channel is too small or too new to escape scrutiny. For banks and money transmitters, the lesson is that dealing with Iranian-linked customers, even indirectly, can end in designation. For Iran, the actions narrow the remaining routes for earning and moving hard currency while the war and the negotiations drag on. Read more: Global markets slide as Nasdaq enters correction and Australia raises rates

What Happens Next

The MEXC order takes effect 30 days after publication in the Federal Register. American financial institutions will use that period to cut off transfers involving the exchange, and other crypto platforms will watch closely to see how aggressively the ban is enforced. The eight Canadian firms face immediate blocking of any US assets and a ban on dealings with American persons, which is likely to freeze their dollar business at once.

Frequently Asked Questions

Which firms did the Treasury sanction in Canada?
Eight money services businesses: Diverse Trade Inc (Million Exchange), 1380079 BC Ltd, Top PC Technician Inc, NIA Nations Currency Ltd, 2397639 Ontario Ltd (Farah Exchange), CCC Inc, B Galaxy Inc and Darvish Exchange, based in Ontario or British Columbia.

What is MEXC and why was it cut off?
MEXC Global is a Seychelles-incorporated crypto exchange. FinCEN says it facilitated at least $16 billion in illicit transactions between May 2021 and May 2026 linked to sanctions evasion by Iran, North Korea and Russia.

When does the MEXC ban take effect?
The FinCEN order takes effect 30 days after publication in the Federal Register, after which US financial institutions are barred from processing transfers involving MEXC.

What is Operation Economic Outcast?
It is the Treasury campaign to sever Iran's sanctions-evasion networks from the global financial system. An earlier action on November 4 targeted an Indian shadow-fleet network.