The electronic implementation of criminal supervision over deprivation of liberty, as a contemporary innovation in penal policy, aims at decarceration, reducing prison populations, and strengthening offender rehabilitation. In Iran, this measure has been introduced under Article 62 of the Islamic Penal Code (2013) and its Executive Regulation (2016). Using a qualitative approach and thematic analysis based on semi-structured interviews with 30 judges, law enforcement officers, technical experts, and prison administrators (purposeful sampling), this study examines legislative and practical frameworks, judicial-legal challenges, criteria for selecting offenders, socio-psychological consequences, technical barriers, and a proposed comprehensive model. Findings indicate limited implementation (10–15% reduction in prison population for minor offenses), legal ambiguities (absence of a comprehensive law and scientific selection criteria), technical false alarms (30% of cases), and potential violations of privacy rights (contrary to Article 17 of the International Covenant on Civil and Political Rights). While corrective effectiveness is observed (25% reduction in recidivism), social stigma and psychological pressure on offenders remain. Major challenges include institutional incoherence (judiciary–prison organization), weak geolocation infrastructure, and lack of training. Proposed solutions involve enacting a comprehensive law on electronic deprivation of liberty with human rights safeguards, establishing a national coordination body, standardizing equipment (accuracy above 95%), promoting public awareness, and adopting successful models from the United States and France. This transformation requires simultaneous legal, technical, and cultural reforms to align with the Nelson Mandela Rules (2015) and the International Covenant on Civil and Political Rights, thereby enhancing criminal justice.