Funny thing is, as a practicing muslim - there is no compulsion in religion (direct quote from the Qur'an). Iran literally is using the ignorance of the populace to push their own means of controlling the masses.
That being said, the religious requirement is modest dress. Some traditions interpret that to require covering the hair or face. Other traditions do not. Hijab was uncommon in Bangladesh when my parents were growing up, but is increasingly common today due to growing cultural influence from middle eastern schools of Islam. That said, it’s worth noting that Islam is not like Protestant Christianity where lay people are supposed to interpret the meaning for themselves. Where relevant Islamic experts have spoken you’re supposed to defer to their interpretation.
Allah SWT’s mercy is boundless, hudhud punishments can’t be enacted for something minor of this sort. Iranian government lost the plot and is using every excuse to feign legitimacy when it never had any.
The same thing is repeated all over the world unfortunately with other religious faiths.