As we wrote not so long ago, Iran is preparing to withstand economic sanctions imposed by the administration trump. In this regard, the national currency of Iran has fallen to a record low against the U.S. dollar.
The Iranian Rial, which only began to gain momentum after years of depreciation, set a new low on Monday, trading in an average of 100 000 rials for one dollar. Many Iranians nor seriously worried by the fact that the economy is about to collapse. Such sentiments among the masses only intensified because of the decision of the Iranian authorities to impose restrictions on operations with foreign currency. The authorities also began to fight with those who try to circumvent the restrictions by buying gold coins on the black market.
Looks like stuck between a depreciating national currency and strict rules of the government the Iranians are turning to Bitcoin and similar decentralized assets. From may 2018 the Iranians have spent over $ 2.5 billion for the purchase of digital currencies.
A resident of the country, who wished to remain anonymous, confirmed that monthly buys of cryptocurrency as a protective measure against the U.S. sanctions.
“I started to buy Bitcoin and even Ethereum because I think that the Iranian Central Bank is not able to resolve the economic situation. I read a lot about what the Chinese and the Venezuelans did the same thing during the economic crisis.”
The woman also confirmed the strongest falling value of the Rial against Bitcoin, saying that on the black market for 1 BTC is about $ 20 000, if payment is made rials.
Even with this rate, according to statistics from LocalBitcoin trading volume in Iran in July is growing: in the first week of the month it was 18 BTC in the last 25 BTC.
Iran, despite the ban of Bitcoin and similar digital assets in April this year, announced that it will launch its own national cryptocurrency. Recently the Iranian government has confirmed the establishment of a national encryption key that will use Blockchain technology.
However, the US government believes that attempts to circumvent the sanctions entirely in vain, as they apply to people and organizations and not to the assets. The sanctions include a total ban citizens and U.S. companies doing business in Iran or to participate in joint ventures with Iranian companies, including in the oil and gas industry. The American government also podvergaet sanctions companies from other countries that violate the terms of the us embargo.