Iranian authorities have intensified their crackdown on cryptocurrencies and online exchanges as the national currency continues to plunge in an economy under strain.
Last month, the Central Bank of Iran (CBI) abruptly halted rial payments in all cryptocurrency exchanges, leaving over 10 million crypto users unable to purchase Bitcoin and other digital currencies with the local currency. The move aims to curb the further depreciation of the rial by preventing its exchange for foreign currencies.
Iran’s crypto market surged in 2024 and is expected to continue its upward trend in 2025, as many young Iranians turn to digital currencies in a largely isolated economy suffering from harsh Western sanctions.
While similar bans have been implemented on a smaller scale before, this extended measure appears to be part of a broader effort to enforce tighter control over the growing crypto community.
With inflation rates above 40% for years and Iran’s economy cut off from the global payment system, the CBI’s new restrictions come alongside a series of currency stabilization measures. Authorities are pumping more foreign currency into local markets and cracking down on illegal currency traders in major cities like Tehran.
