Iran has recently faced a massive cyber attack, leading to significant disruptions in national banking and online services. The pro-Israel hacker group Predatory Sparrow claims to have wiped out all data from Sepah Bank, crippling this major Iranian financial institution and leaving countless people unable to withdraw cash from ATMs.
Reports indicate that Sepah Bank, closely linked to the Islamic Revolutionary Guard Corps, has completely gone offline, with its website and mobile services unavailable. Users have reported that all their bank cards are inactive, and ATMs in Tehran and other cities have run out of cash. A resident of Tehran mentioned that he tried using ten ATMs today, but none dispensed any cash. Social media is flooded with videos showing people struggling to withdraw money.
The Predatory Sparrow organization stated in their announcement that this cyber operation successfully destroyed all data from Sepah Bank. This organization has previously claimed responsibility for attacks on Iran's fuel, steel, and security infrastructure, asserting that Sepah Bank facilitates the circumvention of international sanctions and funds the activities of the Revolutionary Guards, including Iran's missile and nuclear programs.
Although officials have denied the incident, Iranian media reports indicate that several major banks, including Melli, Pasargad, and Eghtesad-e Novin, have been affected and are facing service disruptions. Veterans relying on Sepah Bank for their pensions have also been impacted. The Fars news agency, associated with the Revolutionary Guard, confirmed that a cyberattack led to the disruption of Sepah Bank's remote services, warning that this could potentially lead to fuel station outages since the bank supports certain gas stations. Reports suggest that Sepah Bank plays a crucial role in the national fuel distribution network, which explains the cascading failures at gas stations.
Residents in Tehran and other cities have reported a significant drop in internet speeds, with some claiming they can barely connect online. As digital payment services are frozen, the gold market has also been hit hard; locals in Tehran are noting that gold shops have closed and online gold selling platforms are no longer operational. This issue is spilling over internationally, as Iranians stranded abroad due to flight cancellations are unable to access their funds. One tourist in Turkey shared that although he converted his funds to Tether, the cryptocurrency platform has blocked all transactions, preventing him from confirming payments and impacting his ability to pay for hotel expenses.
Despite the Iranian central bank's claims that the banking infrastructure is stable and that services are running smoothly, a spokesperson told the state-run IRNA news agency that all banking operations are functioning seamlessly for customers. However, the Fars news agency has reported that an investigation indicates the issue is expected to be resolved within a few hours. On the other hand, AI and information technology analyst Sahar Tahvili warned Iran International that the systems are outdated and not prepared for modern cyberattacks. The aim of wartime cyberattacks is to incapacitate critical systems such as transportation, banking, and energy, thereby disrupting communications to weaken coordination. Additionally, Iran's cyber security command has issued directives to government officials, prohibiting the use of any devices connected to public communication or telecommunications networks to prevent cell phone tracking, which could be used for targeted assassinations domestically.
