Britain just gave itself a new legal weapon against foreign state threats, and Iran’s Islamic Revolutionary Guard Corps is the first major target. The National Security (State Threats) Act 2026 received royal assent on July 8, creating a proscription-style designation framework that treats state-linked organizations with the same legal severity typically reserved for terrorist groups.
On July 13, the UK government named its first batch of designated entities: the IRGC, the Islamic Movement of Companions of the Right (IMCR, also linked to Iranian activities), and Russia’s GRU Volunteer Corps. Anyone providing support or assistance to these organizations now faces up to 14 years in prison. Acts of sabotage, like arson, could mean life behind bars.
While the legislation itself doesn’t mention cryptocurrency or digital assets, the IRGC’s alleged use of digital currencies for sanctions evasion has been a recurring theme in reports throughout the first half of 2026. That makes this law relevant well beyond Westminster’s corridors, and squarely into the territory of crypto exchanges, compliance teams, and anyone moving value across borders.
Why existing laws weren’t enough
The UK’s previous counterterrorism framework had a glaring blind spot. It was built to handle non-state actors like militant groups, not sophisticated operations run by foreign governments. The legal toolkit designed to go after rogue organizations simply didn’t fit when the rogue organization was a branch of a sovereign nation’s military.
