Treasury Secretary Scott Bessent on Monday unveiled plans for an "economic D-Day" against Iran, an effort designed to cut the regime off from the rest of the world. Under the strategy, the United States will broaden its use of secondary sanctions against entities and countries that do business with Iran, and Bessent warned that any nation assisting Tehran will be cut off from the dollar-based financial system.

Secondary sanctions are a tool Washington has leaned on before: they penalize third-party banks, companies, and governments for transacting with the sanctioned target, extending U.S. leverage far beyond American borders because so much global trade and oil settlement runs through the dollar system. The approach recalls the "maximum pressure" campaign of Trump's first term, when sanctions reimposed after the U.S. withdrawal from the 2015 Iran nuclear deal in 2018 cut Iran's oil exports sharply and contributed to a currency slump—hardship that, notably, did not produce the concessions Washington sought.

The Treasury chief also singled out five of Iran's "most vital lifelines": digital assets, technology, gold, aviation, and shipping.

But Esfandyar Batmanghelidj, founder and CEO of the Bourse & Bazaar Foundation think tank, argued that these are lifelines for the Iranian people rather than the regime. "Digital assets and gold are how ordinary Iranians protect their savings from inflation," he explained in a post on X. "Technology keeps Iranians connected with the world. Aviation keeps Iranian families connected with loved ones across borders. Shipping is how essential goods, including food and medicine, reach Iran."

The sanctions push comes as the Trump administration has stepped back from resuming all-out war, betting that economic warfare can achieve what bombs and missiles could not. The Treasury Department did not respond to a request for comment.

To be sure, cryptocurrencies, technology, and front companies in shipping are also among the tools the Iranian regime uses to evade Western sanctions and continue earning valuable revenue. The UAE's role had been especially significant: Dubai has long served as a hub for Iranian trade, re-exports, and gold flows precisely because tighter rules elsewhere pushed Iranian commerce toward channels with looser enforcement.

Adding to the pressure, the United Arab Emirates shut down all trade and transactions with Iran earlier this month, severing a vital channel for engagement with the global economy.

Meanwhile, the U.S. war and naval blockade have taken a catastrophic toll on Iran's economy, which was already in shambles before the conflict began. Inflation has soared above 80%, with prices of certain food staples up 100%. The currency, whose collapse triggered nationwide protests late last year, has lost a further 30% of its value this year.

In April, the International Monetary Fund projected that Iran's economy will shrink 6.1% this year—the worst contraction in decades. A labor ministry official estimated that more than 1 million jobs had been lost by late May.

The naval blockade has not only blocked Iran from exporting oil through its ports, it has also prevented imports of refined fuels that the country needs despite being a major oil producer. Iran's reliance on imported refined fuel stems from decades of underinvestment in refining capacity, a gap long compounded by sanctions limiting access to technology and parts. The result has been shortages and long lines at gas stations, worsened by deep subsidies that encourage excess consumption. The government, however, is reluctant to raise prices and dampen demand, fearing further public anger over inflation.

Amid the mounting stress, some moderate officials have signaled that time is running out to secure economic relief, as the U.S. and Iran remain at an impasse with no sign of diplomatic progress.

"No matter how strong we are militarily, if the people are hungry and we do not have financial circulation, economic growth and domestic production, we will not endure," parliamentary speaker and Iran's chief negotiator Mohammad Bagher Ghalibaf said during a visit to Iraq earlier this month.

Fresh protests have in fact begun breaking out, though not yet on the massive scale seen in January, when the government slaughtered thousands in a brutal crackdown. On Monday, oil and gas workers in Asaluyeh staged a demonstration, arguing they should not have to endure a cost-of-living crisis while keeping oil production online, state media said, according to the Wall Street Journal. Earlier, roughly 100 laid-off workers protested at the Shadegan steel complex in western Iran, petrochemical workers in the coastal city of Bandar-e Mahshahr demonstrated against their layoffs, and teachers' union members have publicly complained about going unpaid.

Experts have cautioned that Iran's repressive regime is unlikely to be swayed by the suffering of ordinary citizens, and that it is prepared to wait out economic hardship longer than Americans can tolerate high gas prices.

Even so, officials continue to acknowledge the strains facing ordinary Iranians, while clashing with hardliners who oppose any negotiations with the United States.

"The country today faces great, complex, and multiple open and hidden challenges," Ghalibaf said on Wednesday. "Our duty at this moment is to devote all our time and energy to resolving the people's problems, increasing Iran's economic power, and preserving the achievements of resistance."