Iran's Internet Shutdown Sparks Interest in Crypto Amid Protests and Economic Strain

Internet access in Iran was cut off on Thursday night as anti-government protests intensified, according to reports. Demonstrators in cities like Tehran, Mashhad, and Isfahan chanted slogans against Iran's leadership. The economic crisis is a primary driver of the unrest, with the rial losing significant value and inflation continuing to climb.

The internet blackout was attributed to government interference, with reports of failed landline and mobile calls from Dubai to Iran. Protesters have expressed demands for systemic change, with some chanting in support of exiled Crown Prince Reza Pahlavi. Security forces reportedly used force to suppress the demonstrations, leading to at least 36 deaths and over 2,000 detentions.

The rial's free fall has been a persistent issue, with its value against the U.S. dollar dropping over 800% since 2020. Bitcoin is being viewed as a potential hedge against the rial's devaluation, due to its capped supply and decentralized nature. However, adoption faces hurdles, including regulatory restrictions and technical complexity for average users.

Why Are Protests and Economic Hardship Fueling Crypto Interest?

The devaluing rial has sparked renewed interest in Bitcoin as an alternative store of value, according to analysis. Bitcoin's resistance to government manipulation and its limited supply make it attractive in times of economic instability, as research shows. Public discussions increasingly highlight the cryptocurrency as a potential safe haven, according to reports.

Protesters are not only calling for political change but also seeking economic solutions, as documented. The government's response to the protests has included anti-Western rhetoric, with Iran's new army chief warning against foreign aggression. The regime has also announced a monthly food coupon system to address rising prices, but many Iranians remain skeptical.

What Is the Role of Starlink in Addressing Connectivity?

A recent partnership between flyExclusive and Starlink has drawn attention to satellite-based internet solutions, according to market analysis. flyExclusive's shares rose 85% after it announced it would install Starlink's high-speed aviation connectivity on its fleet, as reported. Starlink's satellite internet service could provide alternative communication channels during internet blackouts, according to experts.

The technology, which delivers low-latency broadband from low-Earth orbit, is being marketed to private jet operators and third-party aircraft owners, according to industry sources. flyExclusive's CEO highlighted the value of in-flight connectivity, particularly for real-time communications and streaming. The company's expanded MRO capabilities and fleet modernization efforts align with the broader investment in technology, according to financial reports.

What Do Analysts Watch for in the Future?

Monitoring the Iranian government's stance on cryptocurrency is essential, as increased restrictions could limit Bitcoin's adoption. Development of user-friendly Bitcoin wallets and exchanges tailored to Iranian users will also be key to broader acceptance, according to industry experts. Global economic conditions and Bitcoin's price volatility will influence its role as a safe-haven asset, as analysis indicates.

The North Star 2030 plan by Worldline includes a €500m capital increase to support its digital transformation, according to company announcements. The company has seen robust performance in its acceptance platform and is reducing churn rates among small business customers, as reported. The capital raise and broader transformation efforts could impact Worldline's market position in 2026, according to financial analysts.

As the rial continues to lose value, the long-term impact on Bitcoin adoption in Iran will depend on a mix of economic, regulatory, and technological factors, according to market research. Investors and analysts are closely watching the situation, as it may reflect broader trends in cryptocurrency usage during economic crises.