Persian Files ISSN 2975-0598 Volume 30 Issue 1Author: Silvia BoltucExecutive SummaryIran’s approach to cryptocurrency regulation has shifted significantly in early 2025, with the government issuing directives for supervision and control of the crypto market. These measures came amid widespread power outages, concerns over illegal Bitcoin mining, and the continued impact of international sanctions.The government has moved toward greater oversight, issuing directives to regulate cryptocurrency markets while also attempting to control illicit mining activities. Moreover, these efforts allow the government to prevent, among other things, citizens from moving large amounts of capital without being subject to taxation. The Central Bank of Iran (CBI), in fact, recently ordered the closure of rial payment gateways for cryptocurrency exchanges. One of the main reasons for the CBI’s intervention is the ambiguity surrounding the operations of these exchanges. The transaction volume of cryptocurrency exchanges has reached several billion dollars, while operators in this sector have not yet paid taxes, and their financial statements remain hidden and non-transparent.The new regulation also aligns with Iran’s broader strategies to mitigate the effects of economic sanctions. However, tensions persist between regulatory ambitions, economic necessity, and energy crises, raising questions about Iran’s long-term financial strategy.This report assesses the key developments in Iran’s cryptocurrency policies, their implications for domestic and international actors, and the potential risks associated with these changes.Information ContextIn January 2025, Iran’s government issued a directive formalising cryptocurrency market regulations. Crypto platforms can now obtain direct payment gateways within a regulatory framework, while all brokers must conduct rial transactions transparently through designated accounts approved by the central bank.Iranian President Masoud Pezeshkian stated in a letter to Mohammad Reza Farzin, the Governor of the Central Bank of Iran, that the CBI is the sole authority responsible for regulating the cryptocurrency (ramzpol) market. This includes determining the permitted conditions for holding and exchanging digital assets, as well as being the exclusive entity for licensing, oversight, regulatory frameworks, and issuing necessary directives for both global and stable cryptocurrencies.All participants in the cryptocurrency sector, including individuals, legal entities, and businesses, are subject to Central Bank oversight. Their establishment and activities are subject to obtaining a license from the bank.Additionally, the CBI will have direct and unrestricted access to all data, statistics, and records related to entities involved in cryptocurrency activities.In December 2024, Iran faced rolling power outages across multiple regions, with authorities blaming unauthorised Bitcoin mining for exacerbating energy shortages. Officials
Gio. Feb 6th, 2025
