Why Iran Could Be The First Country To Adopt Bitcoin as Legal Tender
Many things happened from the time Bitcoin was conceived as a peer-to-peer electronic cash to the time someone dared to buy two pizzas giving it real monetary value, but it only took one person daring to accept its economic value for a revolution to take place raising its price from pennies to thousand dollars in less than a decade.
Similarly, Bitcoin is likely to need some time to gain the legality and legitimacy necessary to earn a place in the traditional financial system. It may just need a simple push, and Iran may be the first country willing to take the first step.
Bitcoin is a decentralized payment mechanism, and it was precisely because of distrust and lack of control by state agencies that it became a kind of massive financial system (considering that its evolution has depended almost entirely on the efforts of the community).
The financial control exercised by “the powerful ones” may be forcing some countries to adopt cryptocurrencies as a mechanism to protect their sovereignty. As Bitcoin is neutral and borderless money, accepted worldwide, it would be a natural alternative for Iran in the face of the financial attacks that the United States is initiating to prevent it from making free use of its own funds.
The Money In Your Bank Account Isn’t Yours.
Paradoxically enough, in very general terms the balance you have in your bank account is not really yours. It is merely the display of a value in a database. Precisely because of this, the bank can not only use your funds to trade but can generate money without anyone depositing it.
Also, despite the perception of security that comes with having money in the bank, you have limits on access to your funds. Also, the bank may freeze your account, preventing you from accessing your funds even though you own them. This is precisely a hard lesson that countries not in tune with American ideology have learned.
And not only “enemy” countries, important allies like Germany have already suffered some struggles. A frew years ago, Germany asked the United States to repatriate their gold reserves, getting as an answer that they would not receive immediate delivery but instead, they would have to agree on a series of conditions among which was to wait until 2020. Germany’s gold was not “completely” Germany’s gold. For more information, this interesting article shows the story from a more technical point of view .
Iran is feeling the pressure of US sanctions after Trump withdrew from the 2015 nuclear deal. Recently, US Ambassador Richard Grenell revealed that the US was trying to eliminate the possibility of Iran withdrawing its money from European accounts:
Let’s encourage the highest levels of the German government to intervene and stop the plan.
Iran: Bitcoin vs. CBDC
The possibility of foreign governments controlling Iran’s funds has caused not only the population but also the upper levels of government to see in cryptocurrency a serious economic opportunity for development.
The rumor of the creation of an official cryptocurrency backed by oil has not been able to win the necessary support for it to be born as a project. Moreover, if it’ s born, it is difficult for it to be accepted by other countries. The United States will make sure of it by sanctioning with its financial advantages those who take such currency.
However, it is different when compared to Bitcoin. This crypto is already accepted worldwide. Its use and exchange value have a decade of solidity and credibility, and several governments are creating legislation with their minds set on the evolution of the financial system.
Malta, Belarus, and Switzerland are clear examples of this. Bitcoin is -for now- unstoppable, and Iran could be the country that gives the necessary push to adopt Bitcoin as legal tender on a massive scale.