Recently, a phenomenon in the crypto world has been particularly noteworthy—distant currency crises are quietly changing the asset allocation of ordinary people. Take Iran as an example: in just one month, the Iranian rial has depreciated by 60% against the US dollar. How outrageous is this number? A month ago, 1 million rials could buy a Starbucks coffee; now, it can’t even buy bottled water, only about $0.70 worth. Comparatively, that’s like half a month’s salary disappearing into thin air. This speed is faster than anything, a full plunge with no buffer.

Some might think, why not just exchange to USD and store it? It sounds reasonable, but it’s simply not feasible in Iran. Official currency exchange policies are tightly controlled—nominally, each person can exchange $2,200 per year, supposedly for travel or studying abroad, but in reality, this quota is virtually useless. Whenever the market slightly fluctuates, the exchange is suspended, and by late 2024 or early 2025, even ordinary citizens are cut off entirely. Even if you’re lucky enough to get the quota, you can’t withdraw cash directly. Want to take USD abroad? That’s illegal.

Official channels are completely blocked. Some turn to black market exchanges, but underground channels face even bigger issues—the exchange rates are wildly unpredictable, and traders risk being caught. Under such circumstances, more and more people are considering an alternative: using Bitcoin to protect their wealth. Currently, about 18 million people have turned to crypto assets as a hedge, and this number speaks volumes.

From a macro perspective, this is not an isolated phenomenon. When a country’s fiat currency collapses and official financial channels shut down, decentralized digital assets become the last safe haven. This grassroots wave of hedging could very well become a key driver pushing Bitcoin’s price to new highs. After all, genuine demand is always more convincing than any policy statement.