Iran Crypto Regulations: What’s Legal, What’s Banned, and How It Affects Traders

When it comes to Iran crypto regulations, the official stance is a ban on cryptocurrency trading and mining, but enforcement is patchy and underground activity thrives. Also known as crypto restrictions in Iran, this policy was pushed by the Central Bank of Iran to protect the national currency and prevent capital flight—yet millions still use Bitcoin and other coins daily. The government doesn’t want its citizens exchanging dollars for crypto, but it also can’t stop them. That’s the messy reality.

Behind the scenes, crypto mining Iran, a high-energy activity that consumes massive amounts of electricity. Also known as Iranian Bitcoin mining, it’s technically illegal, but state-run power plants often sell cheap electricity to mining operators, turning a blind eye as long as taxes are paid. In 2021, Iran briefly became one of the top five Bitcoin mining countries, thanks to low power costs and weak oversight. Even after the ban, miners kept running—sometimes in warehouses, sometimes in homes, always quietly. Meanwhile, digital currency Iran, the government’s own proposed blockchain-based rial, has stalled due to technical issues and lack of public trust. Also known as Iranian CBDC, it’s meant to replace crypto, but most people still prefer Bitcoin because it’s decentralized and harder to freeze. The result? A country where crypto is banned on paper but alive in practice.

What about trading? Exchanges like Binance and Coinbase are blocked, but Iranians use peer-to-peer platforms, Telegram bots, and local OTC traders to buy and sell. There’s no legal protection—no recourse if you get scammed, no oversight if your funds disappear. And if you’re caught mining or trading without a permit? You could face fines, equipment seizure, or even jail time. But the penalties rarely match the scale of the activity. Thousands of Iranians use crypto to protect savings from inflation, send money abroad, or access global markets. The government knows this. It just doesn’t know how to stop it.

So what’s next? The rules haven’t changed since 2019, but enforcement is shifting. Some provinces crack down hard. Others let mining continue if it’s tied to state projects. The U.S. sanctions make it harder for Iran to connect to global crypto networks, but that hasn’t stopped innovation—it’s just pushed it underground. You won’t find official guides or legal advice, but you’ll find people trading, mining, and surviving using crypto as a tool, not a trend.

Below, you’ll find real reviews and deep dives into platforms and tactics used by Iranians navigating this gray zone—from fake exchanges that prey on beginners to legitimate tools that help avoid detection. These aren’t theoretical guides. They’re reports from people who’ve been there.