The Iranian government’s crackdown on digital assets as the rial collapses: citizens struggle with inflation and financial restrictions.
The Central Bank of Iran (CBI) has imposed a block on payment gateways to digital asset exchange platforms during a particularly critical moment for the country’s economy.
The decision, implemented without prior notice, comes amid a deep currency crisis, with the Iranian rial having devalued by 37% against the U.S. dollar since the beginning of 2024. This situation had led many citizens to seek refuge in digital assets like Bitcoin.
The new restrictions follow a series of measures adopted last November, when the Central Bank froze the accounts of exchanges and suspended payment processing services.
In response to these restrictive measures, some industry players published an open letter to President Masoud Pezeshkian, highlighting how “such destructive decisions in technological policy not only eliminate Iran’s already limited economic growth opportunities through new technologies but also drive away qualified human capital, the country’s most valuable resource.”
According to informed sources, the government is developing a centralized system for cryptocurrency management, which would allow greater state control over the market through centralized channels.
Additionally, the government has imposed a ban on advertising Bitcoin mining machines following a severe energy crisis that led to widespread blackouts in Tehran. Authorities have identified over 9,200 mining farms with more than 265,000 machines in the past three years.
In a recent report, the Human Rights Foundation commented on the country’s situation:
“For Iranians enduring severe inflation, financial repression, and an isolated economy, Bitcoin represents one of the few remaining paths to financial freedom — a path the regime is now working to block.”
