In the 1980s, Ayatollah Ruhollah Khomeini issued a fatwa that allowed sex reassignment surgery for those diagnosed with gender dysphoria. The fatwa essentially religiously separated transgender issues from homosexuality, legitimizing transgender identities and providing a religious endorsement for medical interventions. But homosexuality is still harshly persecuted in Iran. The fatwa as far as I know is pretty progressive, cuz it recognized gender dysphoria as a mental condition and SRS/HRT as a treatment. And it addressed ethical concerns such as leaving individuals suffering with gender dysphoria without any viable treatment. It was a religiously sanctioned and compassionate solution to a significant personal and social issue, allowing it to be passed within the framework of Islamic law. A lot of people also say that gay people commonly end up transitioning in Iran as it is the only legal way to be with someone they are attracted to, but idk how true it is. But yeah transgender rights in Iran is an anomaly for sure and very interesting/complicated.