The US-Iran conflict is a clear example of how cryptocurrencies are now being used as a strategic tool in the struggle for economic power.
Iran has long faced economic pressure due to strict sanctions imposed by the US.
The sanctions have made it difficult for the country to deal with international banks, receive trade payments and access the world's financial system.
In a depressed economic situation, cryptocurrencies have emerged as a new way out.
Digital currencies such as Bitcoin and stablecoins have given Iran the opportunity to continue conducting transactions without relying on the traditional banking system controlled by the West.
For Iranians, cryptocurrencies have become a savior for their savings.
The continued decline in the value of the rial and high inflation have caused many residents to look for alternatives to protect the value of their income and assets.
By storing money in the form of cryptocurrencies, they hope to avoid losses due to the fall in the value of the local currency.
In an uncertain situation, cryptocurrencies are seen as safer than storing money in the domestic financial system.
The use of cryptocurrencies in Iran does not only involve ordinary citizens, but is also used by government-related entities and influential institutions.
They are believed to be using crypto mining and digital wallets for cross-border transactions and certain trades.
During times of geopolitical tension or threats of war, crypto activity also increases sharply as many users transfer assets to personal wallets to avoid the risk of sanctions or cyberattacks.
On the US side, Washington is now increasingly aggressive in tracking Iran's use of crypto.
Through agencies such as the Office of Foreign Assets Control (OFAC), the US has frozen hundreds of millions of dollars worth of digital assets and imposed sanctions on digital wallets and companies believed to be helping Tehran evade sanctions.
The US is also increasingly serious about utilizing blockchain analytics technology to track the flow of money that is being hidden through crypto networks.
