Iran is intensifying its push to use cryptocurrencies for global trade, framing digital assets as a crucial tool to bypass U.S. and U.N. sanctions that have restricted the country’s access to international payment systems.
The strategy was outlined at deBlock Summit, Iran’s first government-backed international blockchain conference, where officials emphasized that crypto is no longer optional it is necessary.
The push comes after France, the U.K., and Germany activated a sanctions “snapback mechanism” in August 2025, reinstating severe restrictions on Tehran.
Iranian Leadership Calls Crypto a National Necessity
Parliament Speaker Mohammad Bagher Ghalibaf said digital currencies offer new channels for foreign trade and financial cooperation with aligned nations.
“Independent nations can benefit from these new payment methods,” he said.
He stressed that crypto-based settlement systems are essential given Iran’s isolated position:
“Settling international transactions in digital currencies isn’t optional for us – it’s required.”
Ghalibaf added that Parliament plans to work with universities, tech firms, and researchers to strengthen blockchain innovation and attract foreign capital into the sector.
BRICS Pressure and Geopolitical Friction
Iran’s crypto plans are tied closely to its cooperation with BRICS, the economic alliance led by China, Russia, India, Brazil, and South Africa.
However, geopolitical tensions persist:
- Former U.S. President Donald Trump has threatened heavy tariffs on BRICS members if they support alternative currency systems.
- India publicly rejected the idea of moving away from the U.S. dollar, stating in August 2025 that such a shift “is not part of India’s financial agenda.”
Iran appears determined to move ahead regardless, seeking alternative financial rails through crypto.
Industry Leaders Warn of Regulatory Gaps
At the conference, Iranian industry insiders criticized the government’s crypto rules as outdated and unclear.
Ehsan Mehdizadeh, CEO of Wallex Iran one of the country’s largest exchanges said regulators still lack a fundamental understanding of blockchain technology.
“A country facing sanctions cannot afford to reject innovative financial infrastructure,” he said.
Mehdizadeh stressed that Iran’s exclusion from SWIFT means alternative rails like crypto are not just beneficial but necessary for cross-border trade.
Central Bank Control and Policy Obstacles
Iran’s Central Bank currently maintains strict authority over the crypto sector.
Key issues include:
- Local exchanges cannot convert Iranian Rial directly into cryptocurrencies.
- Crypto mining is legal but faces ongoing debates over energy pricing, with lawmakers questioning why miners should benefit from subsidized electricity.
- Oversight remains fragmented, hindering the development of financial infrastructure.
Shamseddin Hosseini, head of Parliament’s Economic Committee, highlighted concerns about energy policy fairness, especially when miners consume large amounts of power.
A Country Turning Toward Crypto But Not Ready Yet
While Iran views crypto as a pathway around sanctions and financial isolation, experts warn that unclear regulations and central bank restrictions could slow adoption.
The country appears committed to building a digital trade strategy, particularly with BRICS members but without comprehensive regulatory reform, Iran’s crypto transition may continue to face internal roadblocks.
