Iran’s Central Bank Using Vast Quantities of Cryptocurrency Championed by Nigel Farage, Report Reveals
January 21, 2026 — A recent investigation has uncovered that Iran’s central bank is actively using substantial amounts of Tether stablecoins, a cryptocurrency promoted by British political figure Nigel Farage, according to a report by crypto analytics firm Elliptic. The findings shed new light on the Iranian regime’s methods for circumventing international sanctions through digital currency.
Systematic Accumulation of Tether Stablecoins
Elliptic reported that it traced at least $507 million (£377 million) worth of Tether’s USDT cryptocurrency flowing through accounts believed to be controlled by Iran’s central bank. Tether is a stablecoin pegged to the US dollar, allowing it to be easily exchanged for conventional currency, which makes it a prime candidate for nations or entities looking for anonymity or ease of transfer amid financial restrictions.
The report points to a deliberate and “systematic accumulation” of Tether as a sophisticated means for Iran to bypass the global banking system. Experts suggest this strategy could be employed either to facilitate international trade despite sanctions or to support and stabilize the Iranian rial amid economic pressures.
The Controversy Surrounding Farage’s Endorsement
Nigel Farage, leader of Reform UK, has been an outspoken advocate for digital currencies like Tether. In a recent LBC radio interview, Farage emphasized the growing significance of stablecoins as a bridge between traditional finance and the cryptocurrency ecosystem. He criticized the Bank of England governor Andrew Bailey for imposing restrictions on crypto activities, urging the UK to embrace regulation and become a global hub for cryptocurrency trading.
Farage’s connection to Tether and its supporters has drawn scrutiny due to Iran’s aggressive use of this cryptocurrency amidst a brutal crackdown on domestic protests, which has resulted in thousands of deaths. Critics argue Farage’s endorsement inadvertently supports a financial tool used by an oppressive regime.
Links Between Reform UK Donors and Tether
Among Tether’s significant shareholders is Christopher Harborne, a technology investor recognized as the largest donor to Reform UK. Harborne’s lawyers have denied any involvement in illicit activities facilitated through Tether and dismissed claims he profits from Iran’s use of the stablecoin as “baseless drivel.” Reform UK spokespersons reaffirmed their commitment to lawful political donations and expressed ongoing support for the Iranian people’s fight for freedom.
The Growing Role of Cryptocurrency in Iran’s Economy
The demand for Tether’s USDT stablecoins has surged globally, generating substantial profits—Tether reportedly earns approximately $13 billion annually, surpassing even major corporations like McDonald’s in profit terms. This growth includes demand from illicit sources utilizing cryptocurrency to evade sanctions by the US, UN, and other international bodies that restrict Iran’s ability to engage in global financial transactions.
Israel revealed last year that Iranian Revolutionary Guards operated numerous crypto accounts. A notable incident involved an Iranian businessman inadvertently posting two cryptocurrency account numbers believed to belong to Iran’s central bank, exposing their use and allowing Elliptic’s researchers to link about 50 accounts to the regime with a high degree of confidence.
Tether’s Response and Enforcement Actions
Tether representatives have maintained a firm stance on illicit activities, citing a zero-tolerance policy and adherence to US sanctions regulations. The company states it collaborates with over 310 law enforcement agencies across 62 countries and has frozen more than $3.4 billion of assets connected to criminal activities.
While Tether has acted against some accounts linked to Iran’s Revolutionary Guards as identified by Israel, most accounts believed to be operated by Iran’s central bank reportedly remain active at this time.
This developing story highlights the complexities of cryptocurrency’s role in modern geopolitics, especially in how digital currencies are leveraged by sanctioned states like Iran. It also raises important questions about political endorsements and the unintended consequences they may provoke on the international stage.
For further information or to share insights, readers can contact reporter Tom Burgis at [email protected] or via The Guardian’s secure messaging tools.