Iran shocks world by selling ballistic missiles and warships for crypto, bypassing sanctions

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Tejaswini Deshmukh
Tejaswini Deshmukh
Tejaswini Deshmukh is the contributing editor of RegTech Times, specializing in defense, regulations and technologies. She analyzes military innovations, cybersecurity threats, and geopolitical risks shaping national security. With a Master’s from Pune University, she closely tracks defense policies, sanctions, and enforcement actions. She is also a Certified Sanctions Screening Expert. Her work highlights regulatory challenges in defense technology and global security frameworks. Tejaswini provides sharp insights into emerging threats and compliance in the defense sector.

Iran is now offering to sell advanced weapons, including Emad ballistic missiles, Shahed drones, Shahid Soleimani-class warships, and Majid short-range air defense systems, to other countries. The country is openly willing to accept cryptocurrency as payment, marking one of the first known instances of a nation openly using digital currencies for military exports.

The Ministry of Defence Export Center (Mindex), a state-run body responsible for overseas arms sales, manages this initiative. Mindex publishes a catalog of weapons for potential buyers, including high-tech systems like missiles, drones, and warships, as well as smaller arms, rockets, and anti-ship cruise missiles. Some of these weapons have reportedly been used by Iran-backed groups in the Middle East, according to western governments and UN reports.

Mindex operates an online portal with a virtual chatbot to guide buyers through the purchase process. The site is available in multiple languages and explains payment methods, inspections, and delivery options. Buyers can inspect weapons in person in Iran, but only with approval from local security authorities.

Payments in Crypto, Barter, and Local Currency

Mindex’s documents show that payments can be made in cryptocurrency, barter arrangements, or Iranian rials, allowing countries to bypass traditional banking systems restricted by US, EU, and UK sanctions.

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The export center addresses sanctions concerns directly. It assures buyers that contracts will be executed successfully and that weapons will reach their destinations. The website states: “Given the general policies of the Islamic Republic of Iran regarding circumvention of sanctions, there is no problem in implementing the contract. Your purchased product will reach you as soon as possible.”

Cryptocurrency allows buyers to move money across borders without relying on conventional banks, making sanctions harder to enforce. The US has previously accused Iran of using digital assets to facilitate oil sales and move hundreds of millions of dollars outside the formal banking system. In September 2025, the US Treasury imposed sanctions on individuals linked to Iran’s Revolutionary Guards for operating a “shadow banking” network that used cryptocurrencies to process payments for Tehran.

Mindex also allows payments to be arranged in the destination country and promises secure in-person inspections, subject to approval from Iranian authorities. While prices are not publicly listed, the system provides flexibility for buyers navigating sanctions and logistics.

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Global Context and Military Reach

Iran ranked 18th in the world for major arms exports in 2024, behind countries such as Norway and Australia, according to the Stockholm Institute for Peace Research. The country maintains client relationships with 35 nations, giving it a broad network for overseas arms sales. Analysts note that Iran is well-positioned to benefit from reduced arms exports from Russia, caused by restrictions following its invasion of Ukraine.

The weapons on sale include advanced systems like Emad missiles, Shahed drones, Shahid Soleimani-class warships, and Majid air defense platforms, alongside smaller equipment such as rockets, anti-ship missiles, and small arms. Mindex sets conditions on how weapons can be used, specifically mentioning conflicts “during a war with another country,” though these terms remain negotiable with buyers.

This move comes amid renewed international pressure on Iran over its nuclear program. In August 2025, the UK, France, and Germany triggered a UN mechanism to reimpose international sanctions after diplomatic efforts with the US collapsed. Countries attempting to pay Iran using conventional finance risk being blocked from the global banking system.

The Mindex website is hosted on an Iranian domestic cloud service, under US sanctions and reportedly closely linked to the country’s intelligence services. It provides guidance for buyers on cryptocurrency payments, barter deals, and local arrangements to ensure delivery.

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