Sanctioned Regimes Increasingly Turn to Cryptocurrency to Evade U.S. Sanctions, Report Says

A new report indicates that North Korea, Iran, Russia, and other entities under U.S. sanctions are increasingly using cryptocurrency to bypass financial restrictions. Blockchain analysts estimate that sanctioned-linked crypto addresses received more than $100 billion in 2025.

Cryptocurrency Becomes a Growing Sanctions Evasion Tool

Countries and organizations targeted by U.S. sanctions—including North Korea, Russia, and Iran—are increasingly relying on cryptocurrency to bypass international financial restrictions, according to a report published by The Wall Street Journal on Friday.

Citing blockchain analytics firm Chainalysis, the report says cryptocurrency addresses linked to sanctioned entities received more than $100 billion in 2025.

Iran and North Korea Among Key Users

According to the report, Iran's Islamic Revolutionary Guard Corps (IRGC) has reportedly used cryptocurrency exchanges to receive payments from oil sales to China.

Western officials also assess that North Korea has continued using cryptocurrency to help finance purchases of fuel and military equipment, providing Pyongyang with an alternative channel to acquire resources despite international sanctions.

Growing Concern for Global Enforcement

The findings underscore the increasing role of digital assets in helping sanctioned regimes move funds outside the traditional banking system, presenting an ongoing challenge for international sanctions enforcement and financial regulators.