Iran Uses Bitcoin to Bypass Sanctions, Central Bank Encourages Traders

Iran’s crypto strategy

Iran is continuing to use bitcoin to get around international sanctions. The country’s central bank is reportedly allowing traders to move money without asking questions, hoping to keep the economy stable.

Key details

• Financial Times reports that Iranian crypto exchanges settle cross‑border payments with bitcoin.
• The central bank has quietly encouraged traders to keep money flowing.
• Business insiders say the bank does not investigate how funds are transferred.
• Iran started a bitcoin‑backed insurance service for county shipping companies earlier this year.
• U.S. authorities froze Tether stablecoins linked to the Iranian regime, but bitcoin cannot be frozen because it is decentralized.
• OFAC noted that “Hormuz Safe” accepts bitcoin from ships passing the Strait of Hormuz to evade sanctions.
• Iran faces severe sanctions, a naval blockade that cut oil exports by over 80%, and high inflation.

Financial Times report

The Financial Times article, dated September 9 2026, cites conversations with businesses, regime insiders and analysts. It says the central bank advised citizens to “do anything necessary to help the economy” and has quietly encouraged the use of cryptocurrencies for cross‑border transactions.

Other observations

U.S. Treasury’s Office of Foreign Assets Control (OFAC) said in July that Iran was accepting bitcoin payments from ships in the Strait of Hormuz. The U.S. also froze crypto assets, mainly Tether’s USDT, linked to the Iranian regime. Because stablecoins are issued by a single company, they can be frozen, unlike bitcoin.

Confirmed facts

• Iran is using bitcoin for cross‑border payments through its crypto exchanges.
• The central bank has not publicly prohibited these transactions.
• U.S. authorities have frozen Tether stablecoins tied to Iran.
• OFAC identified a payment system called Hormuz Safe that accepts bitcoin.

Unclear aspects

• The exact volume of bitcoin transactions handled by Iran is not disclosed.
• How much the central bank is directly involved beyond “quiet encouragement” remains uncertain.

Why it matters

Bitcoin’s decentralized nature makes it difficult for sanctions‑enforcing countries to block. Iran’s use of bitcoin shows how a nation under heavy sanctions can still move money internationally, affecting the effectiveness of those sanctions.

What may happen next

Given the ongoing war and blockade, Iran is likely to keep relying on bitcoin and other digital assets to sustain trade and finance.

Sources

• Bitcoin Magazine