Iran authorizes Tether and Bitcoin for cross-border trade as sanctions tighten

Iran is allowing exporters and importers greater use of cryptocurrencies, including Tether's USDT and Bitcoin, for cross-border settlements. This policy shift gives businesses more flexibility to repatriate export earnings outside the central bank's official foreign-exchange platform. It enables companies to use those proceeds directly to pay for imports without relying on constrained bank transfers or correspondent banking systems. The change marks a further accommodation of digital assets by Iranian authorities as Washington broadens sanctions against finance, oil, shipping, aviation and digital asset sectors. USDT, a dollar-pegged stablecoin issued by Tether, facilitates dollar-linked value transfer without conventional banks. Bitcoin serves as another route, though its price volatility remains less predictable for businesses handling invoices. The expansion carries substantial risks because the US Treasury has stepped up action against cryptocurrency infrastructure linked to Iran. In August, Washington sanctioned exchanges and networks it accused of helping move funds for the Islamic Revolutionary Guard Corps. Additionally, US authorities have made Iran's digital-asset sector subject to broader sanctions regulations.