US investigators are intensifying scrutiny of Iran’s expanding crypto sector amid concerns digital assets are being used to evade international sanctions.
The US Treasury is examining whether crypto platforms have enabled Iranian security forces, cut off from global banking systems, to move money abroad or procure goods, according to Reuters.
One analysis cited by Reuters found Iran’s Islamic Revolutionary Guard Corps moved around $1 billion through crypto exchanges since 2023.
The probe reflects broader US concerns that state-linked actors are exploiting decentralised financial infrastructure to bypass restrictions on traditional cross-border payments.
Alongside state usage, ordinary Iranians are increasingly turning to cryptocurrencies as the rial rapidly loses value and inflation erodes household savings.
Crypto activity has surged during periods of political and economic instability, including recent anti-government protests.
Those spikes have been interrupted at times by state-imposed internet shutdowns, highlighting the tension between growing grassroots adoption and government control.