U.S. sanctions target Iran's digital assets and gold, deepening economic pain for civilians

The U.S. plans to expand sanctions against Iran, targeting digital assets, gold, and shipping. These measures are intended to pressure the regime but will likely increase inflation and hardship for Iranians. The economy is already shrinking, with inflation above 80% and widespread job losses.

The sanctions package targets five sectors that Treasury Secretary Bessent described as Iran's "most vital lifelines." However, analysts note these same channels serve ordinary citizens, who use digital assets and gold to shield savings from inflation exceeding 80%. The measures follow the UAE's decision to halt all trade with Iran, further isolating the country from global markets.

Iran's economy was already contracting before the current conflict, with the IMF projecting a 6.1% shrinkage this year. The naval blockade has restricted both oil exports and fuel imports, creating shortages and long queues at gas stations. More than one million jobs have reportedly been lost, and protests have emerged among oil workers, steel plant employees, and teachers.