Iran Uses Bitcoin Mining to Bypass Sanctions and Fund International Purchases

Iran has increasingly used state-controlled Bitcoin mining since 2019 to circumvent US-led sanctions, generating billions in cryptocurrency to fund imports of machinery, fuel, and military components. This strategy enables Tehran to conduct international transactions outside the traditional dollar-based banking system, avoiding SWIFT and correspondent banks. Analysts describe this as a sanctions-resistant financial network supporting both economic and military needs, with Bitcoin mining costs far below market value, creating significant margins for Iran's use.