In a post on his Twitter account, the Iranian foreign minister denounced Trump's Middle East plan, known as deal of the century.
“The so-called ‘Vision for Peace’ is simply the dream project of a bankruptcy-ridden real estate developer,” Zarif said.
“But it is a nightmare for the region and the world,” he added.
“And, hopefully, a wake-up call for all the Muslims who have been barking up the wrong tree,” the top Iranian diplomat noted.
In a ceremony at the White House on Tuesday, Trump unveiled his long-delayed Middle East plan, a proposal Palestinian leaders called a "conspiracy" that "will not pass".
Before the proposal was announced, Palestinians called it dead on arrival, saying it was an attempt to "finish off" the Palestinian cause.
Following Trump's announcement, Palestinian President Mahmoud Abbas said "a thousand no's" to the plan.
Trump's initiative, whose principal author is his son-in-law Jared Kushner, follows a long line of efforts to resolve the conflicts between Palestine and the Zionist regime.