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News & Updates

Iran Plans Crypto-Based Trade to Bypass U.S. Sanctions

November 16, 20253 Mins Read
Iran Cryptocurrency

Iran is exploring the use of cryptocurrencies to settle international trade, including with India and other BRICS nations, in an effort to reduce the impact of U.S. and UN sanctions, according to senior officials and business leaders.

The push comes after France, the UK, and Germany triggered a “snapback mechanism” in August 2025, reinstating international sanctions over Iran’s alleged nuclear activities. Iran has also been cut off from the U.S.-controlled SWIFT payment system for years, limiting its ability to participate in global finance.

Officials Promote Crypto for Trade

At the deBlock Summit, Iran’s first international blockchain conference, Parliament Speaker Mohammad Bagher Ghalibaf said cryptocurrencies could enable Iran to continue trading despite sanctions.

“Cryptocurrencies provide new ways to do business and to pay for trade,” he said, adding that Iran aims to become a regional and global hub for blockchain and digital commerce. He noted that Iran plans to invest in technology and collaborate with researchers and businesses.

Ghalibaf said it was “necessary” for Iran to use digital currencies for trade and urged greater investment in the sector.

Crypto Framed as Tool for De-dollarisation

Summit chairman Pooria Asteraky argued that cryptocurrencies could support de-dollarisation by reducing reliance on the U.S. dollar in global trade. He described crypto as “the first technological tool” for countries seeking a shift away from centralised financial systems.

U.S. President Donald Trump has previously warned BRICS nations against creating a joint currency or moving away from the dollar, threatening tariffs in response. India has also distanced itself, saying de-dollarisation is not part of its financial agenda.

Private Sector Flags Regulatory Gaps

Despite government enthusiasm, Iranian crypto businesses say unclear rules are limiting growth.

“There is not a proper transparent regulatory environment for blockchain or cryptocurrencies to prosper in Iran,” said Ehsan Mehdizadeh, CEO of Wallex Iran. He argued that sanctions make alternative financial systems essential but said regulators lack a clear understanding of the technology.

Mehdizadeh added that crypto could help Iran navigate global restrictions, particularly given its exclusion from SWIFT.

Restrictions and Uncertainty

The Central Bank of Iran currently regulates the crypto sector and has imposed several limits, including blocking currency gateways that convert Iranian Rials into digital assets. Crypto mining is allowed, but policymakers are debating how to regulate its energy use.

Shamseddin Hosseini, chair of the Parliament’s Economic Committee, noted that the government has historically taken a cautious stance due to concerns about money laundering and energy consumption.

Push for Transparency and Trust

Ali Hakim Javadi, head of the Iranian Information Technology Organization, said improving trust and transparency is key to attracting investment. He highlighted blockchain-based smart contracts as a way to modernise business practices and reduce legal disputes.

Iran’s move toward digital currencies signals a broader effort to reshape its economic strategy, though the path forward remains uncertain due to regulatory challenges and geopolitical pressure.

Iran
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Sazid Kabir

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