WASHINGTON, May 11 (Reuters) - The United States on Monday issued an alert to financial institutions warning of efforts by the Islamic Revolutionary Guard Corps' to evade U.S. sanctions, as concerns mount of a resumption of hostilities in the conflict with Iran.

The U.S. Treasury Department's Financial Crimes Enforcement Network (FinCEN) said it issued the alert to assist financial institutions in identifying those funding and facilitating procurement networks supporting the IRGC.

• FinCEN said the IRGC uses front companies, digital asset infrastructure, and other service providers to evade U.S. sanctions.

• Iranian digital assets activity has reached billions of dollars per year, FinCEN said in the alert, citing industry reporting. It said Iran's government, including the IRGC, evades sanctions as part of the activity.

• The alert comes after President Donald Trump said on Monday that a ceasefire with Iran was "on life support" after he rejected Tehran's response to a U.S. peace proposal, fuelingconcerns of a resumption of hostilities in the 10-week-old conflict that has killed thousands and halted vital energy flows.

• The U.S. maintains extensive sanctions against Iran. On Friday, the Treasury Department announced new measures against 10 people and companies, including several in China and Hong Kong, ​over accusations they aided Iran's efforts to secure weapons and the raw materials needed ‌to build its Shahed drones and ballistic missiles.

(Reporting by Daphne Psaledakis; editing by Michelle Nichols )