Iran works its way around by considering creating a central bank of digital currency, aiming to counteract the effects of sanctions imposed by the US.
As payment methods continue to evolve, new innovations are improving financial infrastructures that have been in use for years. Currently, central bank digital currencies are a topic that has grabbed the attention of many nations worldwide including the Islamic Republic of Iran.
There are reports that the Iranian CBDC was developed with the Hyperledger Fabric protocol hosted by the Linux Foundation, but these reports are unconfirmed by either Hyperledger or the central bank. “The Energy Ministry has been implementing measures since last month to reduce the use of liquid fuels in power plants including cutting licensed crypto farms’ power supply, turning off lampposts in less risky areas and stringent supervision of consumption,” Mostafa Rajabi Mashhadi, the deputy managing director of National Grid Dispatching, hadAt the beginning of 2020, Iran1,000 crypto mining licenses as local officials realized crypto’s potential to aid the geopolitically isolated country in...
“We are finalizing a mechanism for operations of the system. This should provide new opportunities for importers and exporters to use cryptocurrencies in their international deals,” Peyman-Pak reportedly said, reiterating that the government should take the business and economic prospects of the cryptocurrency industry more seriously.
As the idea of digital currency paved the way for financial inclusion, to some extent, it is clear that central banks have seen the advantages and are now aggressively trying to launch Bank-supported digital money. Some 14 countries are testing the pilot versions of their CBDCs. Among these, the Chinese digital yuan is making a buzz. Some other countries are at the testing stage including Sweden, Thailand and South Korea.