Iran plans to launch central bank digital currency

CBDC has been created using the Hyperledger Fabric platform hosted by the Linux Foundation

19.01.2022 - 11:25

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What’s new? The Central Bank of Iran (CBI) plans to launch a CBDC pilot project soon. According to the Iranian Labour News Agency, the central bank’s digital currency may help the country solve its financial problems.

Information on the Iranian Labour News Agency website

How did events develop? The development of the project began in 2018 at the Informatics Services Corporation, the executive arm of the CBI. The Iranian . The development phase has been successfully completed and the pilot project will be launched soon. However, the regulator did not give details of the timeline.

What was the reason for the creation of CBDC? Iran experiences significant financial and economic difficulties as a result of the harsh economic sanctions imposed by the United States. Amid these problems, the country turned to cryptocurrencies and was one of the first to legalize bitcoin mining in the hope of reviving the economy. However, because of the severe power shortages and blackouts, the authorities have repeatedly suspended mining operations.

The CBI and the Ministry of Trade reached an agreement to connect the payment platform to a trading system that allows businesses to make payments using cryptocurrencies.

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