**[FT: Iran Eases Foreign Exchange Controls, Turns to Cryptocurrency for Cross-Border Trade]** BlockBeats News, September 9, according to a report by the UK’s *Financial Times*, Iran is gradually relaxing its strict foreign exchange controls and tacitly allowing businesses to use cryptocurrencies, particularly Tether (USDT) and Bitcoin, for cross-border transactions. This move is aimed at mitigating the impact of U.S. sanctions and the economic and financial disruptions caused by war. Sources familiar with the matter revealed that the Central Bank of Iran has quietly encouraged businesses in recent months to repatriate overseas funds through various methods, including settling cross-border trade via local cryptocurrency exchanges. Additionally, companies are now permitted to exchange foreign currency on the open market and directly use export revenues for importing goods, bypassing the official foreign exchange system entirely. A senior executive close to the Iranian regime stated that the central bank is no longer scrutinizing the methods used to transfer funds, saying, “Using cryptocurrency to receive export payments has become completely normalized.” Data indicates that approximately $10 billion worth of cryptocurrency will flow through Iran by 2025. Blockchain analytics firm Elliptic estimates that Iran accounts for about 4.5% of global Bitcoin mining activity, leveraging its cheap energy resources to mine Bitcoin and acquire crypto assets for importing goods and circumventing trade restrictions. At the same time, Iran still has over $100 billion in undeclared overseas and domestic revenues. Iran’s Supreme Audit Court previously reported that more than 20,000 individuals and businesses have failed to fulfill obligations to repatriate approximately €94 billion in export revenues. The *Financial Times* noted that as the U.S. further tightens its blockade on Iran’s financial channels, cryptocurrency is becoming a crucial tool for Iran to sustain cross-border trade and access external funds. However, Iranian industry insiders believe that the scale of cryptocurrency transactions remains insufficient to meet the country’s vast economic needs. Tether had previously frozen approximately $344 million in wallet assets linked to the Central Bank of Iran, and the U.S. Treasury Department has warned that engaging in digital asset transactions with Iran could lead to sanctions risks. [Original Link]