With the completion of national cryptocurrency development, Iran’s government is all set to make it official throughout the nation. Per local media reports, this crypto token is backed by Rial and can be used in major financial sectors of the country.
It’s evident that recently many countries throughout the world are coming with their national crypto token. The controversial Petro Coins from Venezuela is a leading example in this sector. Certainly, the Iranian government which faces major sanctions from US country is following same footsteps.
The crypto token was reportedly developed by the firm – Informatics Services Corporation(ISC) and have used open source Hyperledger Fabric technology. To elaborate more on tech, it’s a blockchain framework initially developed by IBM and is now hosted by the Linux Foundation, which also leads the Hyperledger blockchain consortium.
As commented by Seyyed Abotaleb Najafi, the CEO of ISC,
After getting Central Bank of Iran’s approval it will be used in the country’s banking system … in the first phase the blockchain banking infrastructure will be granted to Iranian commercial banks to use it as a token and payment instrument in transactions and banking settlement
Growing Need for Crypto in Iran
The Iranian government still faces major sanction’s from trump’s administration and the government does need a solution to circumvent these problems. Having a national crypto token as emerged to be a savior in this economic turmoil. The Brigadier General Gholam Reza Jalali, head of Iran’s Civil Defense Organization said that cryptocurrencies present great opportunities and stated that
Cryptocurrencies can help bypass certain sanctions through untraceable banking operations.
Certainly, these cryptos can reduce its dependence on U.S. dollar-based payment rails operated by SWIFT for global commerce and Brigadier General further added that,
Our major problem here is the US dollar, because the United States uses its national currency to control any country’s SWIFT operations, so we should reduce dependence on the dollar and replace it with another currency
Will the new crypto token will help the Iranian government to solve their economic situation? Let us know your thoughts in the comment section below.