The US Department of the Treasury has imposed sanctions on Behrouz Parsarad, an Iranian national accused of managing the now-defunct Nemesis darknet marketplace.
As part of the action, authorities blacklisted 49 Bitcoin (BTC) and Monero (XMR) addresses linked to him.
The Office of Foreign Assets Control (OFAC) announced the sanctions on March 4, stating that the move was part of an international operation dismantling Nemesis earlier in 2024.
Meanwhile, the sanction against Parsarad is part of OFAC’s ongoing efforts to dismantle illicit online marketplaces. Notably, the agency previously sanctioned Hydra Market in April 2022, with German authorities confiscating approximately €23 million worth of Bitcoin from the platform.
Nemesis sanction
According to OFAC, Parsarad profited from Nemesis by charging users transaction fees, reportedly amassing millions over the marketplace’s lifespan.
Nemesis served as a hub for cybercriminals and drug traffickers, enabling the sale of illicit substances and services. The platform’s built-in money laundering features allowed users to conceal their financial activities.
The authorities estimate that between 2021 and 2024, Nemesis facilitated over $30 million in drug sales. The marketplace also offered additional illegal services, including forged identification documents and professional hacking services. Users could also hire hackers to compromise online accounts and steal sensitive data.
Despite Nemesis’ shutdown, reports suggest that Parsarad has already begun discussing launching a new darknet marketplace with vendors.
Parasad’s on-chain activity
A blockchain investigation by Chainalysis uncovered that Parsarad funneled over $12,000 to other darknet marketplaces, such as ASAP, Incognito, and Next Generation.
The firm also noted that his Bitcoin wallets received over $850,000 from addresses associated with illicit transactions.
Meanwhile, on-chain records show he moved over $1.6 million in crypto, with analysts suggesting he leveraged Bitcoin’s price fluctuations to grow his holdings.
Chainalysis furthered that Parsarad had no direct on-chain links to Iranian financial services but had significant exposure to darknet marketplaces and indirect connections to crypto mixers.
According to the firm, Parsarad deliberately obscured his illicit activities to evade detection because of Iran’s strict penalties for drug-related offenses, including the death penalty.