Iran’s Bitcoin Mines Bombed? Hive Boss Reveals Shocking Military-Crypto Link

Sanctioned Nations Secretly Mining Bitcoin? Hive Digital Co-Founder Drops Bombshell

Frank Holmes links Iran’s secret BTC mining to military activity — and explains why the U.S. may benefit from crypto mining expansion

Bitcoin mining isn’t just for tech bros and corporate investors anymore — according to Hive Digital co-founder Frank Holmes, it’s also becoming a secret lifeline for sanctioned nations trying to survive economically.

In a revealing interview on TheStreet Roundtable with host Scott Melker, Holmes claimed that countries under economic pressure, including Iran, are covertly mining Bitcoin to generate badly needed U.S. dollars — and that global conflict is impacting Bitcoin’s hash rate more than most realize.

 Hive’s Strategy: HODL, Sell When Necessary, Grow Fast

Holmes opened the conversation by reaffirming Hive Digital’s strategy of “HODLing” Bitcoin — crypto slang for holding coins long-term despite volatility.

“We believe that purchasing power is so important, and we will hold on to as much Bitcoin as we can,” Holmes said.

But he acknowledged that strategic selling is sometimes necessary. For instance, Hive had to sell Bitcoin to rapidly expand operations in Paraguay, taking advantage of an opportunity to grow when competitor Bitfarms offloaded assets.

“Sometimes we’ve had to sell… so we could fast track,” Holmes added.

 Big Numbers: Hive Targets 25 EH/s Mining Power by Thanksgiving

Hive Digital (Nasdaq: HIVE) is on a growth tear. The company just surpassed 14 exahashes per second (EH/s) in mining capacity — a major milestone in the crypto mining world. To put it simply, the higher the EH/s, the more computing power a miner has, and the better chance they have at earning Bitcoin.

As of early August, Hive is generating an estimated $315 million in annualized revenue — and aims to hit 25 EH/s by Thanksgiving 2025, which would place it among the top-tier Bitcoin miners globally.

 “Axis of Evil” Secretly Mining Bitcoin?

The biggest revelation came when Holmes shifted to geopolitics. He suggested that countries under U.S. sanctions — including Iran — are secretly mining Bitcoin to bypass international restrictions and access hard currency.

“When Israel bombed Iran and America came in and dropped the B2 special bombs, the difficulty for Bitcoin mining fell by 15%,” Holmes said.

That drop wasn’t random.

According to Holmes, it happened because Iranian military-linked operations — running illegal Bitcoin mines to earn U.S. dollars — were hit during the attack.

“The Iranian military were basically illegally mining Bitcoin… and the power stations got hit.”

 Why the Bitcoin Difficulty Dropped

In Bitcoin mining, “difficulty” refers to how hard it is to solve the math puzzles required to add a new block to the chain. It automatically adjusts every two weeks based on global computing power. If many miners suddenly go offline (like after a bombing), difficulty drops to compensate.

A 15% drop is a big deal — and Holmes says this was directly linked to Iran’s covert mining network going dark.

 Bitcoin as a Sanctions Workaround

Holmes explained the logic behind these covert efforts.

“If they can’t get U.S. dollars, they’re going to mine Bitcoin,” he said. “It’s a large source of revenue for the Axis of Evil. There’s no doubt about that.”

By “Axis of Evil,” Holmes refers to countries like Iran, North Korea, and potentially others that are cut off from traditional finance but need dollars for trade, weapons, or basic survival.

Bitcoin’s decentralized, censorship-resistant nature makes it the perfect tool for such nations to operate under the radar.

 More Countries Might Be Mining in Secret

When asked by Scott Melker whether more countries are mining Bitcoin in secret, Holmes didn’t hesitate:

“Yes, I do,” he said. “It’ll come out, and it’s a large source of revenue.”

That suggests a growing underground global mining economy, with state actors using BTC to evade sanctions, fund operations, or support authoritarian regimes.

U.S. Crypto Mining Could Grow Under Trump, Holmes Says

Holmes also commented on the U.S. crypto landscape — especially the potential for further growth under a second Trump administration.

“Under Trump, Bitcoin mining in America is expected to grow,” Holmes said.

He emphasized the value of Paraguay as a key ally. Hive is investing heavily in the country, thanks to its cheap hydro power and pro-U.S. stance.

“Paraguay is pro-America… very different than Colombia or Venezuela,” Holmes added.

 What Is EH/s and Why It Matters

If you’re wondering what “14 EH/s” or “25 EH/s” means, here’s a quick primer:

• EH/s = Exahashes per second

• 1 EH/s = 1 quintillion hashes per second

• The higher your EH/s, the more computing power you have.

• More computing power means better chances to win new Bitcoin through mining.

For Hive, reaching 25 EH/s would mean increased rewards, more revenue, and greater resilience against network difficulty shifts.

 The Future: Bitcoin, War, and Global Power

Holmes’ comments point to a future where Bitcoin isn’t just about price speculation — it’s also a tool of international power.

Countries locked out of the global financial system are turning to BTC. And if Hive Digital keeps scaling, it may become a key player in this new crypto geopolitics game.

 Key Takeaways

• Hive Digital is aggressively scaling BTC mining, now at 14 EH/s, targeting 25 EH/s by Thanksgiving.

• Frank Holmes claims Iran and other sanctioned nations are secretly mining Bitcoin for USD revenue.

• Global conflict can directly impact Bitcoin hash rate, as seen with Iran.

• Hive believes in long-term Bitcoin holding, but sells strategically for growth.

• Paraguay is emerging as a crypto mining ally for U.S.-based companies.

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