Iran may soon issue its own cryptocurrency as a way to bypass new economic sanctions enacted by U.S. President Donald Trump.
A plan to develop an “indigenous” cryptocurrency is currently on the agenda of the government’s Science and Technology Department, according to Iran’s official news outlet PressTV.
Alireza Daliri, the department’s deputy head in charge of investment affairs, said on Wednesday that the project is ongoing in cooperation with the Central Bank of Iran.
The cryptocurrency would back and tokenize Iran’s national fiat currency, the rial, in order to facilitate domestic and cross-border transactions ahead of the U.S. sanctions, which go into effect next month.
The reported move by Iran follows the lead of Venezuela, which launched its own oil-backed “petro” cryptocurrency – also as a way to fight U.S. sanctions.
Binance’s digital wallet has seen a meteoric rise in Venezuela, climbing to the 33rd spot on the list of the country’s most downloaded apps. This achievement places it just above Snapchat and just below WhatsApp, two of the most widely used messaging platforms in the nation.
Venezuelan authorities have also blocked the world’s largest cryptocurrency exchange, Binance. Amid protests following the presidential elections, the Venezuelan government restricted access to Binance and several other online services.
Venezuelan government blocks Binance, X, Reddit, and Signal amid election unrest. CANTV, Venezuela’s state ISP, enforces the blockade as part of a crypto crackdown. President Maduro accuses Elon Musk of inciting protests and violating laws.
Venezuelan activists have alleged that President Maduro and his government are seeking ways to circumnavigate international sanctions, with crypto transactions.
Venezuela's Ministry of Electric Power plans to cut off crypto-mining companies drawing power from the national power grid SEN (Sistema Electrico Nacional).
Venezuela’s state-run oil company PDVSA is allegedly set to increase crypto usage in its crude and fuel exports as the U.S. strengthens oil sanctions against the country. Venezuela‘s PDVSA, the world’s fifth largest oil exporter, is turning to stablecoin Tether…