Flows on Iranian Crypto trading platforms fell in 2025 due to a breakdown in Israeli nuclear negotiations, a $ 90 million hack on Iran’s largest crypto exchange, and a major stablecoin blacklisting, says Blockchain Analytics firm TRM Labs.
Iranian crypto flow hits $ 3.7 billion between January and July, a 11% drop compared to the same period last year, with the worst collapse coming in June and July, TRM labs Says In a report last Tuesday.
“This collapse in conjunction with a breakdown in nuclear negotiations, a 12-day conflict with Israel since June 13, and widespread electricity outages in Iran-driven by a combination of kinetic and cyber operations, as well as the starting regime shutdown.”
Iran’s crypto flows began to drop in June, after a $ 90 million hack in Nobitex, holding 87% of the country’s crypto transactions.
Many Iranians rely on the US dollar stablecoins as a store of value amid the skyrocketing inflation and to skirt the country’s poor penalties, further cutting it from the global economy.
Nobitex Hack Big contributes to Iran’s crypto shake-up
The Virtual Asset Service Provider (Vasp) Virtual Asset Service Provider (Vasp) breach of security, who came at the hand’s Pro-Israel Group Predatory Sparrow On June 18 – when the tensions between Iran and Israel were at their peak.
While Nobitex continued to lead the volume of Iran Crypto transaction, the incident was interrupted by liquidity, slowing the processing of the transaction and temporarily pushing users towards alternative platforms, TRM said.
Iran-Israel’s increased tension further strengthened the flows, which advanced more than 150% to the worst weeks and a large percentage of that volume led to high-risk foreign exchanges with little to no Learn your customer checksSaid TRM.
Tether’s Blacklist is slowing down flow
Stablecoin Issuer Tether also conducted the largest-ever-freeze of funds associated with Iran, which is blacklisting 42 crypto addresUSDT) Balance on July 2.
The incident caused a coordinated push from Iran’s exchanges, influencers and state-supported channels for users offloaded by their USDT balances based on tron – the most widely used network and token of Iran – and move funds to DAI (Dai) in polygon.
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Many Iranian -day -day -to -day -to -backs to crypto as a Hedge against inflation, The TRM said that Iran’s strong hope was featured in Stablecoins.
Iran continues to use crypto for political purposes
Iran still relies on crypto to pay for sensitive goods from China’s chip resellers, including critical hardware for artificial intelligence, drone components, and other electrical equipment -providing effectively Penalties on bypass, TRM mentioned.
It also used crypto to fund espionage payments to foreign operatives, the crypto analytics firm added.
However, prohibited crypto transactions in Iran still provide less than 1% of the total volume.
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