Iran’s cryptocurrency ecosystem grew rapidly in 2025, reaching over $7.78 billion in total value. According to the report from Chainalysis, on-chain activity closely mirrors major political and security events, suggesting that blockchain behavior provides real-time insight into the country’s instability.

The peaks of activity appeared particularly after the January 2024 bombings in Kerman, Iran’s October 2024 missile attacks on Israel, and the 12-day escalation of the shadow conflict with Israel in June 2025.

Source: Chainalysis

In June, Iran’s main crypto exchange, Nobitex, and Bank Sepah were targeted by cyberattacks, while Iran’s state media reported on women’s protests and called for dissent.

This means that Iranians are using cryptocurrency more when things become tough. Since 2018, the Iranian rial has fallen in value by almost 90%, and inflation remains at 40-50%. 

Cryptocurrencies are no longer used for speculation purposes only but have become an alternative to a weak financial system.

The IRGC’s Expanding Crypto Footprint

One of the most interesting trends in the Iranian crypto market is the growing power of the Islamic Revolutionary Guard Corps (IRGC).

According to new information, IRGC-related addresses accounted for more than half of Iran’s total on-chain transaction volume in the final quarter of 2025. Funds flowing through these addresses grew from approximately $2 billion in 2024 to more than $3 billion in 2025.

Source: Chainalysis

The IRGC employs cryptocurrency to facilitate a lot of its operations within and around Iran, including transferring funds to militia groups, purchasing arms, and evading global sanctions.

Experts point out that the figures are likely to be lower estimates of the actual number because they only include the crypto addresses that are sanctioned by the U.S. and Israel. Most of the wallets related to these activities are not tracked.

Bitcoin as a Digital Safe Haven

The recent protests in Iran demonstrated that Bitcoin is a safe haven for finances. Starting from December 28, 2025, and ending on January 8, 2026, during the time when the Iranian government shut down the internet, the number of daily transactions to personal Bitcoin wallets increased significantly compared to the previous period.

Source: Chainalysis

Iranians transferred more BTC from exchanges to personal wallets to protect their funds from the Iranian government and the devaluing rial.

For citizens of a nation, Bitcoin provides fast access to funds and flexibility when money has little to no use and when the financial system is closely regulated. This is also observed in other nations that are experiencing economic difficulties or political instabilities.

In addition to securing funds, cryptocurrency is now a means of managing one’s own finances and indirectly resisting, which helps Iranians maintain access to resources despite strict government regulations.

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