The rapid expansion of user-centric virtual networks—particularly Instagram with over two billion active users—poses fundamental challenges to cyberspace governance. Despite profound socio-cultural and political impacts, systematic empirical investigation of the causal conditions underlying governance failure remains scarce in Iranian literature. Within an interpretive paradigm, this study applies Strauss and Corbin's systematic Grounded Theory approach to analyze these causal conditions in Iran and propose data-informed resolution frameworks. Data were collected through semi-structured in-depth interviews with nine strategic experts from four institutional domains—academic, executive, military-security, and media—each with over 20 years of strategic experience. Analysis was conducted in MAXQDA through open, axial, and selective coding, yielding over 700 initial codes. Purposive and theoretical sampling continued until theoretical saturation in the ninth interview, with trustworthiness ensured via Lincoln and Guba's criteria. The model was subsequently validated through an expert panel survey (N=15) using Lawshe's Content Validity Ratio; all components achieved mean scores above 4.20 (of 5.00) with CVR values exceeding the critical threshold. Findings reveal six causal categories: legal and regulatory deficits with absent strategic frameworks, economic instability, hybrid cognitive warfare, lack of indigenous digital infrastructure, loss of mainstream media authority, and erosion of socio-religious value systems. These conditions interact within a mutually reinforcing causal chain, producing structural governance vacuums. Seven actionable strategies are proposed: principled and adaptive governance, cyberspace roadmapping, active cyber diplomacy, user capacity activation, cognitive media literacy enhancement, deep-layer AI mastery, and ICT infrastructure fortification, each with designated lead institutions and operational measures.