Covid-19 Impact on Banks, And fixes. The Black Swan Opportunity

Download Now

The Black Swan Opportunity | Get your bank digital ready.

IBSI Special 5 Digital Report Package with Special Offer. Subscribe now

IBS Journal: The iconic monthly FinTech magazine

May 2020 issue out now! Subscribe now

India FinTech Report 2020

Insights into the historical and projected market size of key FinTech categories. Subscribe now

Iran’s Central Bank dismisses rumours of considering using Bitcoin as currency

The Central Bank of Iran has announced that it has never recognized Bitcoin as an official currency, and that it would not allow any transaction in any cryptocurrency whatsoever. These reports come after the Iranian government said last year that it was entertaining the possibility of using cryptocurrencies to bypass the economic sanctions we saw last year.

The Iran Front Page reported on this, saying that the country’s central bank denied the idea that it was actively facilitating Bitcoin transactions. The bank also issued a word of warning regarding the risks of investing in cryptos, as they “may lose their financial assets.”

The central bank is also cooperating with other institutions to find ways to prevent and control the utilisation of digital currencies in the country. The statement reads: “The wild fluctuations of the digital currencies along with competitive business activities underway via network marketing and pyramid scheme have made the market of these currencies highly unreliable and risky.”

Despite this, there are other ways According to NewsBTC, Iran’s Information and Communications Technology (ICT) Minister Mohammad-Javad Azari Jahromi has stated that Iran’s Post Bank is working on a locally developed cryptocurrency, to be tested by the ICT.

We have also seen Venezuela attempt to leverage those sanctions loopholes by creating its own cryptocurrency. The petro is backed by the country’s oil reserves, which are the largest in the world. This hasn’t stopped Venezuela from sliding further into an economic mire fuelled by inflation and food shortages.

Related IBS Intelligence Research

Related Posts