Iran International
Iran’s internet, throttled for 20 days amid the mass killing of protesters, began to partially resume on Wednesday, according to monitoring groups and users inside the country, who said access remains heavily restricted and unstable.
Signs of reconnection were also observed on Sunday, they said, but restrictions were reimposed shortly afterward. The latest restoration appears broader but still falls well short of a full return to normal service.
NetBlocks, the internet freedom watchdog, reported that although Iran has restored some international connectivity, most websites remain blocked or unreliable unless users rely on circumvention tools like VPNs.
Most ordinary users still face heavy filtering and intermittent service under a whitelist system despite a significant increase in internationally visible networks and datacenters, NetBlocks said in a statement on X.
Whitelist refers to state-sanctioned access for officials or state bodies like banks. Iran's foreign minister and other senior officials have posted statements on social media throughout the shutdown.
Iranian authorities have said the internet outage which began on January 8 was imposed to control recent unrest, which officials blame on foreign interference and the activities of what they call “terrorists.”
The crackdown killed thousands of people and appears to rank among the deadliest attack on protestors in modern history.
Ali Akbar Pour-Jamshidian, deputy for security affairs at the Interior Ministry, addressed questions about when internet access would fully normalize by saying the Supreme National Security Council and the National Security Council had prioritized “public security” over economic considerations.
An uncertain digital future
Many data centers still lack stable internet access, and officials have yet to outline a clear timetable or framework for restoring full connectivity.
Milad Nouri, a programmer and internet expert, warned in comments to the news site Entekhab that the situation signals a deeper shift in network infrastructure. He said it shows the system has moved toward enabling permanent whitelist policies and “tiered internet” not just as a policy choice, but as a technical reality.
Tiered internet refers to granting access based on assessed “needs,” such as allowing media outlets controlled access to platforms like Telegram, while most other traffic remains blocked by default.
Economic damage mounts
The prolonged internet shutdown has inflicted significant damage on Iran’s economy.
Communications Minister Sattar Hashemi has estimated the economic cost of the shutdown at 50 trillion rials per day (roughly $50 million at open market rates).
Speaking on Tuesday, Hashemi acknowledged that domestic platforms cannot function independently of international connectivity and would face serious challenges over time.
“(Claiming) that there is no need for the global internet is only a bitter joke,” he said.
At the same time, Iran’s broader economic indicators have continued to deteriorate. As fears of a possible US or Israeli attack intensified, the national currency fell further, reaching a record low of 1,600,000 rials to the dollar on Wednesday.
The Statistical Center of Iran has announced that point-to-point inflation in January reached 60 percent, meaning households paid on average 60 percent more than a year earlier for an identical basket of goods and services. The Tehran Stock Exchange has also seen several consecutive days of declining share values.
Businesses under strain
Many companies are reportedly facing bankruptcy, while others have laid off employees or downsized operations.
The daily newspaper Haft-e Sobh has reported that newspapers are now filled with advertisements offering office desks and chairs for sale by recently shuttered companies.
Babak Aghili-Nasab, CEO of Postex, told the Digiato news outlet that his company’s order shipments dropped by 80 percent during the shutdown. He said the first and most immediate impact was forced layoffs, adding that he expects to lay off around 60 percent of his workforce starting this month.
While the government has said it will offer loans to compensate affected businesses, Aghili-Nasab rejected this approach, insisting that compensation should be provided as direct grants rather than debt. He said: “You have plundered our house and want to give us loans (to compensate)?”
International trade has also been disrupted. Companies have lost contact with foreign partners and customers, and some trucks carrying perishable goods into Iran have reportedly been stranded at border crossings.
Authorities recently provided limited international internet access at Iran’s Chamber of Commerce. long queues for supervised 20-minute sessions, after filling out written commitments.
For small and home-based businesses, especially those dependent on social commerce—which accounted for about 40 percent of Iran’s online retail sector last year—the outlook remains bleak.
Many have resumed activity after a month without sales, but say they have little hope of meaningful income under current conditions.
The outlet reported that the assets include luxury properties across several European countries, ranging from a golf resort in Mallorca to a ski hotel in Austria.
The holdings were structured through a complex network of offshore companies registered in jurisdictions including Luxembourg, St Kitts and Nevis, as well as Austria, Germany and Spain.
Ansari is not under European Union sanctions.
The findings show how wealthy Iranians with close ties to the ruling system have continued to acquire high-value assets in the West despite sanctions.
The report comes as Iran has been shaken by widespread protests fueled by a collapsing currency, high inflation, and public anger over corruption. Protesters have accused elites of enriching themselves while living standards for much of the population have sharply deteriorated.
Blockchain forensics firm Chainalysis estimates that Iran’s crypto ecosystem exceeded $7.78 billion in 2025.
Any figure attached to Iran’s crypto economy is of course partial: both the state and private users have powerful incentives to conceal activity, whether to limit sanctions exposure or avoid domestic scrutiny.
What is increasingly clear, however, is that the state now dominates a large share of that volume.
Chainalysis estimates that the Islamic Revolutionary Guard Corps processed more than $3 billion in crypto transactions last year. Israel’s counter-terror financing authority has published a seizure order listing 187 crypto addresses worth roughly $1.5 billion in Tether, a crypto denomination pegged to the dollar.
New findings by the blockchain analytics and crypto-compliance firm Elliptic link Iran’s central bank to at least $507 million in purchases of dollar-pegged Tether (USDT).
That stockpile could supplement constrained foreign-exchange reserves and help authorities lean against sudden spikes in the rial’s parallel market.
In effect, USDT can function as an off-balance-sheet foreign-exchange buffer: accumulated outside correspondent banking channels, mobilized through intermediaries, and sold into rial markets via local exchanges and over-the-counter desks when pressure builds.
Access, however, is not evenly distributed. Reports indicate state blessing for—or "whitelisting"—internet connectivity for certain traders, even as much of the country has endured a pervasive internet blackout since a deadly crackdown on protestors ramped up on Jan. 8.
When the rial comes under pressure, connectivity itself becomes an instrument of intervention: stablecoin-based market operations still require traders who can connect, quote prices, and settle transactions.
Alternate reality for households
Iran’s central bank has imposed limits on currency trading and transaction flows, while rolling out an anti-speculation tax regime covering gold, jewelry, foreign currency and cryptocurrencies.
The effect has been to raise the cost of traditional inflation hedges while signaling that policymakers now view household portfolio shifts as a macroeconomic risk.
The central bank has moved to cap individual crypto holdings at $10,000, despite warnings from Iranian traders and economists that such restrictions would choke savings and push activity further underground.
On the mining side, the divide is even starker. State-linked and religious institutions are among the largest players, in part because electricity tariffs in Iran are not uniform.
Iran International has reported repeated allegations of crypto mining at state-sponsored sites, including mosques, which benefit from reduced energy rates—an obvious advantage in an industry where profitability hinges on power costs.
The result is effectively two mining economies: small operators running rigs at home or in workshops, attempting to stay invisible, and state-linked actors with access to cheaper electricity, larger facilities, and more predictable protection.
Authorities have periodically blamed illegal neighborhood miners, but some experts see that focus as a way to deflect attention from deeper problems of grid management and governance.
Where the cheapest power is concentrated in privileged institutions and enforcement is uneven, the largest rents accrue not to households plugging in a single machine, but to organized actors with access.
Iran has become a cutting-edge battlefield of monetary adaptation. The central bank experiments with stablecoins to stabilize the rial, while households use the same rails to escape it.
A tightly capped, KYC-only micro-saver lane could offer households limited protection for modest savings while increasing transparency and helping isolate state-connected networks operating at scale.
The unresolved question is whether regulated crypto channels can be structured to distinguish household self-preservation from state-linked finance—or whether policy choices will continue to push both into the same shadows.
Whether the state and its beleaguered citizenry can defy mounting economic pressure may hang in the balance.
