The Central Bank of Iran (CBI) plans to allow cryptocurrencies to be used for international trade in the Middle Eastern country. According to a local report, CBI has reached an agreement with the country’s Ministry of Commerce to integrate crypto payments for Iranian business.
Iran’s Forex Market Using Cryptocurrency
As reported by Mehr news agency, Iran’s Ministry of Commerce has reached an agreement with the Central Bank of Iran to allow the use of cryptocurrencies for international payments. The agreement is expected to be implemented within the next two weeks, Iran’s deputy minister of industry, mines and trade and head of the Iran Trade Promotion Organization, Alireza Peyman-Pak, said.
We are perfecting the operating mechanism of the system. This will provide new opportunities for importers and exporters to use cryptocurrencies in their international transactions. Mehr News quoted Peyman-Pak as saying.
In addition to allowing the use of “privately owned” cryptocurrencies, the Minister also revealed that the central bank is also working on an in-house cryptocurrency – a Bank digital currency. Central (CBDC). He emphasized that cryptocurrencies and blockchain technology have benefits that the country cannot ignore. This is because cryptocurrencies are being widely accepted and are not controlled by any single entity. He pointed out that Iran’s trading partners include Russia, China, India, and Southeast Asia, “the use of cryptocurrencies is common.”
All economic sectors can use these cryptocurrencies… Since the cryptocurrency market is made on credit, our economic sectors can easily use it and use it. widely used, Peyman-Pak said
Authorities continue to promote crypto-related activities, but acceptance among Iranians has increased
The Iranian government has been very accepting of cryptocurrencies in a way. Iran legalized Bitcoin mining back in 2019. The country has also implemented a policy that allows financial institutions to use Bitcoin mined within the country to use for transactions. Translate.
For the citizens of the country, the adoption of cryptocurrencies is increasing. According to a recent survey, as many as 12 million Iranians hold various cryptocurrencies. Iranians have turned to crypto to help the country fend off heavy sanctions from the United States that have affected their economy in many ways.
However, the crypto industry still faces domestic challenges. One big challenge is that there is no specific regulation of cryptocurrencies. This has been affecting both Bitcoin miners and traders. Bitcoin mining was banned twice in 2021 to free up energy for household use. The second ban, imposed last month, will last until March of this year.