When the internet goes dark, Bitcoin doesn’t

When the internet goes dark, Bitcoin doesn’t

Jan 9, 2026
When the internet goes dark, Bitcoin doesn’tWhen the internet goes dark, Bitcoin doesn’tVideo Thumbnail

Key messages:

  • Bitcoin, known for its philosophical resilience and decentralization, also offers a specialized "no-internet" ecosystem.
  • This means that connectivity blackouts, such as those imposed by the government in Iran right now, can be circumvented via Bitcoin. 
  • For end users, the result is continuity and the assurance that Bitcoin’s ledger keeps moving regardless of internet availability and political developments. 

In a modern economy, cutting connectivity is one of the fastest ways to regain control. When governments shut down the internet, they’re not just restricting communication, they’re also disrupting access to money. That’s exactly what’s unfolding right now in Iran, where nationwide internet blackouts have followed widespread protests. Banks struggle to operate, payment apps go dark, and exchanges disappear from screens. 

Bitcoin reacts differently. Not because it magically ignores reality, but because it was built to withstand environments where access is fragile and trust in institutions is optional. At its core, Bitcoin doesn’t live inside a single network, server, or country. If you hold your private keys, your money still exists even when the internet doesn’t. Ownership doesn’t depend on a bank login, a payment processor, or permission from anyone else. That alone already sets it apart from the traditional financial system.

But a standout feature of Bitcoin is that the network can still function, even under extreme constraints. The Bitcoin blockchain is continuously broadcast via satellite, with the Blockstream Satellite network acting like a one-way radio broadcast beaming the entire ledger from space, so that anyone with basic equipment can stay synced without a local internet connection. Transactions can even be prepared and signed entirely offline, with users relaying the tiny amount of data required through alternative channels like radio, mesh networks, or SMS to reach the global network.

In times of authoritarian crackdown, Bitcoin shifts its focus from frictionless payments to continuity. It offers a financial system with no central switch to flip. In situations such as Iran right now, unless they are utilizing satellite access, most Bitcoin users are temporarily limited to holding rather than transacting, but what’s key is that the system itself doesn’t stop. Funds aren’t frozen. Balances aren’t erased. The ledger keeps moving somewhere, even if you can’t always see it. 

Traditional finance, by contrast, fails fast under these conditions. Banks require networks. Payment rails require permission. Accounts are easy to block once infrastructure is centralized. When connectivity drops to near zero the traditional system simply halts. 

In times of extreme pressure, Bitcoin bends, but it doesn’t break. The cryptoasset doesn't aim to solve every problem arising under authoritarian regimes. It simply belongs to a different category of money – one built on the assumption that rules can change overnight, institutions can fail, and connectivity can disappear. In moments of political unrest, Bitcoin's value isn’t proven by price charts, speculation or even daily usage, but via the quiet assurance that when everything is switched off, something essential still runs, silently, relentlessly, and without needing permission.

This report has been prepared and issued by 21Shares AG for publication globally. All information used in the publication of this report has been compiled from publicly available sources that are believed to be reliable, however, we do not guarantee the accuracy or completeness of this report. Crypto asset trading involves a high degree of risk. The crypto asset market is new to many and unproven and may have the potential not to grow as expected.Currently, there is relatively small use of crypto assets in the retail and commercial marketplace in comparison to relatively large use by speculators, thus contributing to price volatility that could adversely affect an investment in crypto assets. In order to participate in the trading of crypto assets, you should be capable of evaluating the merits and risks of the investment and be able to bear the economic risk of losing your entire investment.Nothing herein does or should be considered as an offer to buy or sell or solicitation to buy or invest in crypto assets or derivatives. This report is provided for information and research purposes only and should not be construed or presented as an offer or solicitation for any investment. The information provided does not constitute a prospectus or any offering and does not contain or constitute an offer to sell or solicit an offer to invest in any jurisdiction. The crypto assets or derivatives and/or any services contained or referred to herein may not be suitable for you and it is recommended that you consult an independent advisor. Nothing herein constitutes investment, legal, accounting or tax advice, or a representation that any investment or strategy is suitable or appropriate to your individual circumstances or otherwise constitutes a personal recommendation. Neither 21Shares AG nor any of its affiliates accept liability for loss arising from the use of the material presented or discussed herein.Readers are cautioned that any forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those in the forward-looking statements as a result of various factors.This report may contain or refer to material that is not directed to, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would subject 21Shares AG or any of its affiliates to any registration, affiliation, approval or licensing requirement within such jurisdiction.

Latest insights

Stay informed with our Weekly Newsletter and deepen your insight with Monthly Reviews.

See all insights
Article page link
Bitcoin
Bitcoin
Article page link
Crypto Industry
Article page link
Crypto Industry
No items found.

Start investing today

Step 1
Select a brokerage account below or contact your financial advisor.
Don't see your brokerage? Search for 21shares on your brokerage of choice.
*It is important to note that market orders will execute at the current market price, while limit orders allow investors to set a specific price at which to buy or sell the ETP.