Crypto Can Still Operate in Iran Despite Internet Blackout, Experts Say

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TEHRAN - An internet blackout has been experienced throughout Iran; however, experts think that cryptocurrency transactions can still go on using other technologies like satellite connections, mesh networks and offline crypto tools, thus offering some hope to the population that has been completely isolated from the rest of the world.

This move by the Iranian government comes at a time when there is increased civil unrest and international sanctions, which have led to limitations in communication over the internet, including accessing global financial platforms. Nevertheless, specialists in blockchain as well as experts in cybersecurity argue that the decentralized nature of cryptocurrencies enables them to withstand such forms of state control.

“Even without traditional internet access, people can still send and receive crypto using offline methods,” said one blockchain infrastructure engineer. “For instance, Bitcoin does not rely on a centralised network. All it requires is some means for transmitting transaction data, which could be done via satellites or local radio networks.”

How Crypto Survives When the Internet Doesn’t

During an internet blackout, one effective way of ensuring that Bitcoin transactions continue to be broadcast on the blockchain is through Blockstream’s satellite network. By using this system, Iranians and other individuals living in areas where internet use is restricted can stay connected to the global Bitcoin blockchain without having to go through their local ISPs.

Mesh networking provides another solution whereby devices connect directly with each other through Bluetooth, radio or Wi-Fi and do not require a centralised internet connection. In 2019, a Venezuelan initiative known as Locha Mesh illustrated how Bitcoin transactions might be disseminated via radio frequencies an invention that could be very important in Iran today.

Moreover, SMS-based crypto wallets and hardware devices that synchronise transactions upon reconnection to the internet enable users to keep, exchange, and transfer digital assets even when they are not online. These advancements demonstrate that cryptocurrencies differ from conventional banking systems in that they can function independently of state-controlled infrastructure.

Crypto’s Role in Economic Resistance

Digital assets have served as a means of circumventing U.S. sanctions for Iran over the years, with the regime going to the extent of encouraging Bitcoin mining for foreign exchange earnings. Nevertheless, when there are massive internet blackouts, regular Iranians turn to decentralized technologies for purposes of getting money out, receiving remittances, as well as safeguarding savings from eroding due to inflation.

Although not foolproof, analysts believe that crypto’s resistance against severe censorship underscores its role as an instrument for financial liberation. “Bitcoin reminds the world that information and money can’t be easily stopped when governments attempt total control,” commented a crypto researcher.

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