Iran to Review its Blanket Ban on Cryptocurrency Next Month

Iranian Central Bank Bans Cryptocurrency Transactions amidst currency crisis

A senior official at Iran’s Central Bank has given indications that the country may revered its current ban on all cryptocurrency activities. Nasser Hakimi, the vice governor, innovative technologies at the Central Bank of Iran (CBI), disclosed that the government have been studying the cryptocurrency space and would likely review its ban soon.

Iran’s Ban on Cryptocurrency Activities

In April, the Iranian government, through the CBI placed a ban on cryptocurrency trading and similar activities as the country faced a major currency crises. The directive prohibited the sale, purchase and promotion of cryptocurrencies at a time when citizens were seeking outlets as the value of the Iran’s rail plummeted.

As reported by Smartereum, observers at the time believed that the ban on cryptocurrency was only a temporary measure to control currency crisis and did not represent a total aversion to cryptocurrencies.

Hakimi who spoke at a conference on cryptocurrency and distributed ledger technology in Tehran on Sunday inferred that the ban will soon be lifted.

He told the audience:

“The first concerns the prevalent global cryptocurrencies. The High Council of Anti-Money Laundering has imposed a ban in light of concerns over global allegations of money laundering and financing of terrorism. But it seems that after the government’s consideration, this blanket ban will be reviewed.”

Iran’s Plan to Create National Cryptocurrency

Soon, fears became reality as the United States, walked away for a nuclear deal with Iran, a decision that meant suspended economic sanctions against Iran were gradually restored. The government reportedly intensified efforts towards a national cryptocurrency to evade impacts of the sanction.

Local news reported that the office of the presidency was working with the CBI to towards creating the cryptocurrency. This came after it sacked the CBI governor at the time and appointed the current governor with a mandate “to help Iran navigate the harsh situation.”

Speaking about the National Cryptocurrency, Hakimi said that the test version has been prepared by CBI’s affiliate, Informatics Services Corporation. Though wary that “national virtual currencies haven’t proved successful experiences in the world”, he said that “some economic officials have emphasized on [it]”

Solomon Sunny is the market reporter for Smartereum, one of the global leaders in Ethereum, blockchain and currency news. He produces technical price updates on digital currencies and writes recent developments about blockchain.

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