Iran Embraces Crypto for Trade Amid Sanctions

Iran is increasingly permitting businesses to use cryptocurrencies, primarily Tether USDT and Bitcoin, for cross-border payments as a strategy to circumvent intensified U.S. sanctions and maintain trade flow. This shift comes as traditional banking channels face restrictions due to a naval blockade and broader economic pressures. Iranian authorities have reportedly eased foreign exchange controls, allowing exporters to directly fund imports using their export profits and repatriate money through local cryptocurrency exchanges. While no formal policy has been announced approving cryptocurrency for international trade, this tolerance by the central bank suggests a pragmatic approach to enabling businesses to access foreign currency and settle international transactions. USDT has emerged as the preferred digital asset due to its stability, dollar peg, and liquidity, offering a less volatile alternative to Bitcoin for commercial invoicing. This move by Iran is seen as a direct reaction to U.S. administrations increasing secondary sanctions targeting the nation's digital asset industry. The efficiency of U.S.