Anushka Basu

Mon, Jun 16, 2025, 3:25 PM 2 min read

Shocking Iran-Israel combat no one is talking about originally appeared on TheStreet.

As Israel and Iran engage in military hostilities for the fourth day since the latest escalation in the Middle East, there remains room to analyze the implications of each country's use of financial instruments amid geopolitical tensions.

While Israel is publicly known to have no Bitcoin, Iran could be utilizing Bitcoin in its monetary pursuits.

As per Tehran Times reports dating back to 2018, Iran has often used crypto as a source of fighting Western economic "terrorism."

Reports also indicate Iran has been utilizing its energy surplus to mine Bitcoin. Reports also shed light on Chinese firms choosing Iran to mine Bitcoin due to the country's relatively cheap electricity and China's crypto crackdown.

Iran considered Bitcoin mining as an option due to international sanctions and a monetary deficit in the country. The country has abundant oil and natural gas but struggles to access global financial markets.

According to reports, Iran could circumvent banking prohibitions by utilizing its spare electricity to power Bitcoin mining.

According to a Reuters report, Iran has established state-approved and licensed operations that are required to sell the mined Bitcoin directly to the country's central bank, as recently as 2024. F

or research and trading analysts, the significance of Iran's Bitcoin mining has increased significantly due to its benefits in circumventing sanctions, as per Babel Street.

The Central Bank of Iran declared that retail transactions—including buying products and services—will use the digital rial, a state-backed stablecoin. Following initial research and clearance from the High Council of Money and Credit of Iran, the nation started its digital money initiative in 2021.

Al Jazeera revealed in May 2021 that "around 4.5% of all global Bitcoin mining" takes place in Iran, generating an estimated $1 billion in revenue. However, whether Iran has been using the revenue for its defense is not officially known.

At press time, Bitcoin has been up nearly 2%, trading at $107,513.88, as per Kraken.

Shocking Iran-Israel combat no one is talking about first appeared on TheStreet on Jun 16, 2025

This story was originally reported by TheStreet on Jun 16, 2025, where it first appeared.