Iran’s stablecoin strategy is getting worldwide attention amid the wider geopolitical turmoil. In this respect, during the airstrikes of February 28, the Central Bank of Iran halted the trading pair $USDT-toman to decrease currency repricing.
This indicates the systemic significance of stablecoins in the country’s economy. Additionally, the Financial Action Task Force (FATF) has revealed that stablecoins occupied up to 84% of Iran’s illegal crypto volumes during 2025.
$10B Crypto-Led Economy of Iran Undergoes Stress-Test Amid War
In the early days of February 2026, the reports disclosed that the crypto transfer volumes of Iran had touched an approximate $8-$10B in 2025. In this respect, the Central Bank of Iran purchased a minimum of $507M in $USDT over 2025. This denotes a refined plan to circumvent the worldwide banking framework.
The market reports point out that a considerable amount of the crypto activity of Iran was associated with the Islamic Revolutionary Guard Corps (IRGC). Specifically, when Iran underwent US-Israeli strikes on February 28 and the worsening conditions in the Middle East, including the Strait of Hormuz, the internet connectivity of the country plunged by ninety-nine percent.
This caused crypto transfer volumes to slump by 80%, and exchanges jumped into defensive mode, halting withdrawals while entering batch processing.
Iran Leverages Stablecoins as Part of Sanction Evasion Strategy
Along with that, the Iranian Central Bank ordered crypto exchanges to stop the $USDT-toman pair. Subsequently, at the time when trading restarted, the dislocated prices and the shrunken order books disclosed a fragile market outlook without its crucial pair. Even then, while common citizens in Iran lost access amid the blackout, regime-related actors may have kept transacting funds quietly.
Recently, FATF issued a report on stablecoins as well as unhosted wallets, referring to the eighty-four percent of illegitimate crypto volumes during 2025 that included stablecoins. The report clearly pointed toward Iranian actors while also urging issuers to rapidly adopt freeze, deny-listing, and burn capabilities.
As a result, this case underscores the paradox the core of stablecoins, as the same dollar-pegged assets that are primary for legitimate payments across borders have become an instrument for the evasion of sanctions.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Hyperliquid crude oil products are trading at a premium of over 4% compared to traditional markets, with the on-chain market absorbing the weekend production cut news.
Affected by Middle East production cuts, Brent and WTI crude oil show significant premiums on the Hyperliquid platform, reaching 4.76% and 5.42% respectively. Similar situations were observed in on-chain gold prices during the US-Iran conflict, so investors should exercise caution to handle potential sharp fluctuations.
GateNews8m ago
Bessent Meets Bukele to Talk Crypto - U.Today
U.S. Treasury Secretary Scott Bessent and El Salvador's President Bukele met to discuss economic reforms and cryptocurrency strategy at the "Shield of the Americas" summit. Bessent praised Bukele's pro-market initiatives, despite previous tensions over Bitcoin's legal status and a recent amendment to reduce crypto's role due to financial challenges.
UToday12m ago
Trump says he's not interested in negotiations with Iran, mentions the possibility of ending the war
Gate News Report, March 8 — On Saturday, U.S. President Trump told reporters aboard Air Force One that he is not interested in negotiations with Iran and proposed a possible end to the Iran war: only when Tehran no longer has operational military forces or any remaining leadership in power. Trump said, "At some point, there may be no one left in Iran to say 'surrender'."
GateNews46m ago
Hong Kong Financial Secretary: Hong Kong will build an ecosystem for gold and commodities trading
Hong Kong Financial Secretary Paul Chan emphasized in the "14th Five-Year Plan" essay that Hong Kong needs to consolidate its position as an international financial center, support innovation and technological development, and use finance to support the real economy. The focus will be on promoting financing for science and technology companies, offshore Renminbi business, green finance, and bulk commodity trading.
GateNews1h ago
The U.S. Pentagon has blacklisted Anthropic from the supply chain risk list, and the GSA is drafting stricter AI contract regulations.
Gate News Report, March 8 — According to the Financial Times of the UK, the U.S. Pentagon has blacklisted AI company Anthropic from the supply chain risk list. Subsequently, the Trump administration's General Services Administration (GSA) drafted stricter civil AI contract rules, requiring AI companies seeking to do business with the government to grant an irrevocable license, allowing the government to use their AI systems for all lawful purposes.
GateNews3h ago
Wang Yi Discusses Iran Situation: Immediate Ceasefire and Stop the Fighting to Prevent Escalation and Spread
Gate News Report, March 8, Wang Yi expressed his views on the Iran situation at the diplomatic press conference during the Fourth Session of the 14th National People's Congress. Wang Yi stated that the Iran situation is the focus of the current international landscape. China maintains an objective and fair attitude, having repeatedly clarified its principled stance, which can be summarized in one sentence: cease fire and end the war. Wang Yi pointed out that in the face of the Middle East engulfed in war, this is a war that should not have happened and is also a war that benefits no party. China once again calls for: an immediate halt to military actions, preventing the situation from escalating in turn, and avoiding the spillover and spread of the conflict.
GateNews3h ago
