Iran’s crypto ecosystem hits $7.8B amid protests: Chainalysis
Cryptocurrency activity in Iran has increased during nationwide protests, with a rise in Bitcoin withdrawals as residents seek to preserve value, according to blockchain analytics firm Chainalysis.
Demonstrations began around Dec. 28 following a fresh decline in the Iranian rial to record lows against the U.S. dollar. Authorities responded with internet restrictions, mass arrests and reports of widespread fatalities.
Chainalysis reported on Thursday that Iran’s crypto ecosystem reached $7.78 billion in 2025. The firm said unrest coincided with a sharp increase in the number of daily cryptocurrency transfers and the total value transacted.
“Most telling is the surge in withdrawals from Iranian exchanges to unattributed personal Bitcoin wallets. This surge suggests Iranians are taking possession of Bitcoin at a markedly higher rate during protests than they were beforehand,” the report said, adding that the shift reflects a rational response to the rial’s collapse against major currencies such as the euro.
Chainalysis also said the government has used crypto. It estimated that the Islamic Revolutionary Guard Corps’ (IRGC) crypto-related activity accounted for roughly half of the country’s total crypto ecosystem in the fourth quarter of 2025, with addresses linked to the IRGC receiving more than $3 billion over the year.
Bitcoin’s role during the unrest
Chainalysis said Bitcoin (BTC) is serving not only as a store of value but also as an “element of resistance,” offering liquidity and optionality in a constrained economic environment. The firm cited BTC’s censorship-resistant and self-custodial features as providing financial flexibility, particularly for individuals who may need to leave the country or operate outside government-controlled channels.
The company added that other regions experiencing war, economic crises or government crackdowns have shown similar patterns of elevated Bitcoin withdrawals during periods of instability.
Crypto expected to remain a key tool
TRM Labs tracked approximately $3.7 billion in total crypto flows involving Iran from January through July 2025. Separately, Statista estimates about seven million crypto users in the country, out of a population of roughly 92 million.
“As sanctions pressure and international opprobrium intensify, and Iran’s economic volatility persists, cryptocurrency will likely remain a crucial tool for Iranians seeking financial sovereignty,” Chainalysis said.
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