In a bold move that reveals the geopolitical power of digital currencies, recent reports showed that Iran pumped over 500 million dollars worth of Tether (USDT) into the markets, in a clever attempt to circumvent stifling international financial sanctions.
With the global banking system closing its doors to it, Tehran turned to dollar-pegged stablecoins as a practical alternative to paper dollars. Through regional intermediaries and transactions outside the SWIFT system, liquidity was converted to USDT and then used to finance foreign trade and support the Iranian rial within the local market.
This process allowed Iran to maintain indirect access to the dollar, without going through regulated banks, which confirms that digital currencies are no longer just an investment tool, but an effective economic weapon in state conflicts.
But the paradox is that the transparency of the blockchain itself that made the process possible is also what revealed its details to the world, putting Tether and stablecoins once again under the microscope of international scrutiny.
The message is clear:
In the crypto age… traditional sanctions are no longer sufficient 🚀