Iran's cryptocurrency market has emerged as one of the fastest-growing ecosystems globally, driven by economic crises and political uncertainty.
A recent report from blockchain analytics firm Chainalysis indicates that the country's cryptocurrency market volume reached approximately $8 billion in 2025, representing over 2% of Iran's annual Gross Domestic Product.
The report highlights a significant surge in Bitcoin's value against the Iranian rial, with an approximate 2,000% increase in the last six months. This rise is attributed to a confluence of factors, including geopolitical turmoil, widespread protests, and the severe depreciation of the rial.
Experts observe that cryptocurrencies in Iran have transcended their role as mere investment tools. They are increasingly utilized as a hedge against economic instability and as a mechanism for capital flight. Chainalysis notes that cryptocurrency serves not only as a means to circumvent sanctions but also as an escape route from a perceived corrupt and collapsing system.
Economic Pressures Driving Crypto Adoption
Iran's national currency, the rial, has experienced a substantial devaluation, losing approximately 90% of its value in recent years. Concurrently, the annual inflation rate has remained above 40%. In this challenging economic climate, citizens are turning towards Bitcoin and other digital assets as a means to preserve their wealth.
Shifting User Behavior and Asset Control
Blockchain data reveals a pronounced trend among Iranian users to withdraw their Bitcoins from exchanges and transfer them to personal wallets in recent months. This behavior became particularly noticeable prior to the nationwide internet blackouts in January 2026. Analysts interpret this shift as a reflection of individuals seeking direct control over their assets during periods of heightened economic uncertainty and political instability.
IRGC's Growing Influence in the Crypto Market
The Chainalysis report also sheds light on the increasing influence of the Islamic Revolutionary Guard Corps (IRGC) within the Iranian crypto market. In 2025, addresses identified as being linked to the IRGC received approximately half of the total cryptocurrency value entering the country. This development is seen as a significant indicator of the group's expanding economic and financial power.