Category: Crypto

JPMorgan says inflation concerns, not ETFs, driving Bitcoin price jump

JPMorgan says inflation concerns, not ETFs, driving Bitcoin price jump

Bitcoin (BTC) broke its all-time high price level following the launch of ProShares’ Bitcoin Strategy exchange-traded fund (ETF), BITO, on Tuesday, but JPMorgan Chase strategists believe the key driver behind the price jump is investor concern over inflation.The BITO launch, which saw the highest-ever first-day natural volume for an ETF, is “unlikely to trigger a new phase of significantly more fresh capital entering Bitcoin,” JPMorgan strategists said in a note. Instead, JPMorgan believes that as gold failed to respond to concerns over rising cost pressures in the last couple of weeks, Bitcoin’s renewed role as a better hedge against inflation in the eyes of investors is the main reason for the current bull run. The team highlighted that the shift away from gold ETFs into Bitcoin funds has bee gathering speed since September and “supports a bullish outlook for Bitcoin into year-end.”The JPMorgan strategists exemplified the waning interest after the first week following the launch of the Purpose Bitcoin ETF (BTCC) in Canada, claiming that the initial hype surrounding BITO could also fade after a week.As the first Bitcoin futures-linked ETF in the United States, ProShares’ Bitcoin Strategy ETF started trading on the New York Stock Exchange on Tuesday at an opening price of $40 per share. It enables investors to have direct exposure to cryptocurrency futures in a regulated market.Related: Bitcoin futures ETF hits $1B AUM in a record-breaking two daysJPMorgan’s comments echo others in traditional finance. Billionaire investor Carl Icahn praised Bitcoin as a great hedge against inflation as the next market crisis looms on the horizon.Bill Winters, CEO of British bank Standard Chartered, recently noted the passing of a long period of low inflation, adding that “it’s perfectly reasonable for people to want an alternative to fiat currency.”

Competition and Hype Drive Young Crypto Investors, UK Watchdog Finds

Competition and Hype Drive Young Crypto Investors, UK Watchdog Finds

A sizable majority of young investors seeking high-risk opportunities are motivated by competition and hype, a new survey has indicated. They often turn to cryptocurrency and forex products, according to the poll conducted by the U.K.’s financial regulator.
FCA Launches ‘Investsmart’ Campaign Targeting Risk Prone Investors
The U.K.’s Financial Conduct Authority (FCA) has carried out new research into the attitudes of young investors towards high-risk products. The watchdog has surveyed 1,000 respondents, aged between 18 and 40, as it launches a 5-year campaign to reach out to inexperienced investors that could cost the British taxpayer £11 million ($15 million).
Through the poll, the regulator has been able to establish that many of these investors are driven by competition with friends and family members when investing in cryptocurrency and forex. Three-quarters of the surveyed, 76%, said they felt a sense of competitiveness while two-thirds, or 68%, likened the experience to gambling.

At the same time, only a fifth of all respondents, 21%, were considering holding their most recent investment for more than a year and just 8% were expecting to keep the assets for at least five years. That’s despite a prevailing preference (60% of the polled) for long-term investments providing more stable, albeit lower, returns.
Hype in the news and on social media has been another driving force for new investors looking into acquiring high-risk products. Well over half of the participants in the study, 58%, said they felt encouraged to put funds into investments they were constantly hearing about in the news coverage, through social media channels, and from other people.
FCA’s new research also shows that most of the young investors who bought cryptocurrencies, a staggering 69%, believed these were regulated by the FCA and another 57% thought the same is valid for the forex products they purchased. The financial watchdog has concluded that these people were unable to understand the lack of adequate protection for them and their money.

The financial authority also notes that the survey has been conducted after around a million U.K. investors increased their holdings or made a high-risk investment between April and October 2020, during the height of the Covid-19 pandemic. Announcing the results of its research, the FCA further emphasized:
The regulator is concerned that new investors are increasingly accessing higher-risk investments which may not be right for them, or reflect their risk tolerance.
The regulator now wants to help investors make the right decisions through its Investsmart campaign which was launched on Wednesday. The initiative is part of the agency’s consumer investments strategy. It was announced in September, with the goal to build investor confidence and limit the number of people falling victim to scams or being enticed to invest in products that are too risky.
Investsmart targets inexperienced investors through social media and online, the FCA detailed. The campaign urges investors to ignore the hype and directs them to the regulator’s website where they’ll be able to receive appropriate assistance. “With our InvestSmart campaign we’re taking an innovative approach to reaching those tempted by high-risk products so that they can better understand the risks and where to get advice,” said Sarah Pritchard, executive director of markets at the FCA.
Do you agree with the findings in the FCA survey? Let us know in the comments section below.

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AMC gets 'hyperactive' about crypto, CEO says it may issue its own coin

AMC gets 'hyperactive' about crypto, CEO says it may issue its own coin

American multinational entertainment giant AMC is getting very excited about blockchain and the company’s chief executive is publicly mulling the issuance of its own cryptocurrency.During an interview with CNBC on Oct. 20, AMC chief executive Adam Aron discussed the firm’s crypto ambitions. There were no solid details but the company boss did make some revealing comments.“We’ve made a lot of noise in the last few months about getting hyperactive in cryptocurrency.”He then canvassed the possibility of AMC issuing its own coin, stating: “There are a lot of reasons why AMC could be a successful issuer of cryptocurrency as well as a redeemer of cryptocurrency.” He added that this was just one of half a dozen ideas the company is working on at the moment.AMC is very forward-looking with regards to digital assets. In August, the firm stated that it intended to have the infrastructure in place to accept Bitcoin payments for movie tickets by the end of this year.The following month, the theater giant expanded on those crypto payment options by including Ethereum, Litecoin and Bitcoin Cash. At the time, Aron commented that moviegoers were keen to use crypto as a payment method for their tickets and concessions at AMC theatres.In early October, AMC added Dogecoin to the list of crypto payment options following a Twitter poll that Aron created that resulted in 68% voting for DOGE from more than 140,000 participants.I sincerely want to hear your opinion, via this Twitter Poll. By year-end 2021, AMC will take Bitcoin, Etherum, Litecoin and Bitcoin Cash for online payments. I hear from many on my Twitter feed we should accept Dogecoin too. Do you think AMC should explore accepting Dogecoin?— Adam Aron (@CEOAdam) September 21, 2021On Oct. 6, the company announced digital gift cards that can be purchased with crypto and redeemed for tickets and AMC e-card purchases.Related: AMC Theatres debuts crypto payments for e-gift card purchasesToken issuance for listed companies in the U.S. may be no easy task with ever-increasing regulatory hurdles to overcome. Social media giant Facebook is finding this out the hard way as the scrutiny directed towards its cryptocurrency issuance plans continues to mount.AMC shot to fame among momentum investors earlier this year when share prices surged after becoming a meme stock favored by retail traders on Reddit’s infamous WallStreetBets forum. At the time of writing AMC shares were trading at $40.86, down marginally on the week, but up 6.2% since the beginning of October.

Real Estate Platform Pacaso Accepts Crypto Assets for Payments, CEO Says ‘Mass Crypto Adoption Well Underway’

Real Estate Platform Pacaso Accepts Crypto Assets for Payments, CEO Says ‘Mass Crypto Adoption Well Underway’

On October 20, the day bitcoin smashed a new all-time price high, the real estate platform Pacaso announced it will be accepting cryptocurrencies via Bitpay. The CEO of the real estate firm that helps people buy and co-own a second home, Austin Allison, says the firm has seen increased crypto adoption “across the real estate industry.”
Real Estate Platform Pacaso Now Supports Crypto Payments
The firm Pacaso is a real estate platform co-founded by Spencer Rascoff and Austin Allison. Rascoff is well known for co-founding Zillow Group and co-founding Hotwire.com as well. In October 2020, Rascoff co-founded Pacaso with Allison, and the company is considered a real estate platform that makes owning a second home easier by leveraging shared ownership. Pacaso’s business model is similar to the timeshare model but it’s also a touch different.

“Forget timeshares, with Pacaso, you own a home, not just a block of time,” the company’s website details. “You can book stays throughout the year, not annually. And resale? It’s fast and streamlined, and you set the price.” Now the firm has decided to accept crypto assets via the Atlanta-based digital currency payment platform Bitpay.
“Digital currencies and the blockchains that power them are seeing increased adoption across the real estate industry, and a crypto payment option is a recurring topic in our conversations with prospective buyers of second homes,” said Austin Allison, Pacaso’s co-founder and CEO. “As we expand internationally and put second-home co-ownership within reach for more people across the globe, we’re thrilled to be able to respond to that demand and extend as many payment options as we can to our customers.”

Bitpay CEO Is Seeing More Crypto Transactions Being Made for ‘Large Purchases Like Real Estate’
The announcement detailed that Pacaso customers will be able to choose from a myriad of digital assets like bitcoin (BTC), ethereum (ETH), litecoin (LTC), bitcoin cash (BCH), dogecoin (DOGE), and wrapped bitcoin (WBTC). Alongside this, Pacaso clients can also leverage five different stablecoins as well. Stephen Pair, CEO of Bitpay said in recent times the company has seen much larger transactions such as people buying homes.
“We are seeing more transactions being made for large purchases like real estate as more crypto holders want to spend and live their life on crypto. Pacaso makes a second home a reality,” Pair explained on Wednesday. “The market potential for crypto is huge, with $55 billion as the estimated value of purchases consumers will make using cryptocurrency in the next 12 months.”
Pacaso says that paying with crypto will be just as easy as it would using fiat, as clients can leverage their crypto assets to use as a “down payment in their home, and finance the remainder of the transaction, or otherwise split payment between crypto and fiat currency.” Pacaso’s CEO sees mass adoption of crypto is “well underway” and with that homebuyers will want to utilize a variety of payment options.
“Whether you’re HODLing Bitcoin, diversifying out of a DOGE-heavy portfolio, or somewhere in between, Pacaso is here to help you realize your second-home dreams,” Allison concluded.
What do you think about Pacaso accepting cryptocurrency payments? Let us know what you think about this subject in the comments section below.

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Austin Allison, Bitcoin, bitcoin cash, BitPay, Crypto, Cryptocurrency, Digital Assets, down payment, Ethereum, litecoin, Pacaso, Properties, Real estate, real estate company, second home, shared ownership, Spencer Rascoff, Stablecoins, Stephen Pair

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Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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Bitcoin Price Sets New All-Time High Above $65,000

Bitcoin Price Sets New All-Time High Above $65,000

Bitcoin price has done it and made a higher high, setting a new all-time high record above $65,000 according to several exchanges and the TradingView BTCUSD Index.
What exactly does this mean for the first-ever cryptocurrency and the current market cycle? Read on to find out.
Bitcoin Price Sets New Record ATH Above $65,000
The number one ranked cryptocurrency by market cap has just set another major milestone, and proven to the market that the bull cycle isn’t yet finished. It also means that the April 2021 “top” was nothing more than a mid-cycle pullback before the coin reached its final destination target closer to $100,000 or higher.
Related Reading | Bitcoin “Supertrend” Begins As Buy Signals Stack On All Major Timeframes
Targets for the cryptocurrency reach as high as several hundred thousands per coin at the conclusion of this cycle. Future estimates have reached as much as $10 million per BTC based on the stock-to-flow model.
The recent Bitcoin ETF approval ended any second guessing or speculation over whether or not the bull market had ended, or if a bear market had began. Bear markets don’t have dead cat bounces that lead to new all-time highs. The higher high also keeps the uptrend in tact by the pure definition of the term.

There you have it, folks: A new all-time high is set. Where does it end? | Source: BTCUSD on TradingView.com
BTC Back In Price Discovery, What Happens Next?
Technicals have suggested this push higher was coming. The monthly Bitcoin RSI is back in the bull zone, and most other technical indicators are leaning bullish on high timeframes. What has thrown many market participants off, has been an overheated technical picture on the daily that is heavily dominated by the higher timeframe signals.
Related Reading | Bitcoin Price Prepares To Blast Off Back Into RSI “Bull Zone”
With no resistance above, the market will be less likely to sell or go short, because there is no telling how high Bitcoin price could go from here. Each successive peak will cause the same wide-sweeping question if the top is in, until it is.
This could make for a final leg up that moves faster than most are expecting, with very few or limited pullbacks to buy in. What’s worse, is that the final leg of a bull run usually does mean a bear market is coming, and is due to arrive the moment the actual peak is in.
Follow @TonySpilotroBTC on Twitter or join the TonyTradesBTC Telegram for exclusive daily market insights and technical analysis education. Please note: Content is educational and should not be considered investment advice.
Featured image from iStockPhoto, Charts from TradingView.com

Russia Considers Partially Replacing Dollar Reserves With Digital Assets in Future

Russia Considers Partially Replacing Dollar Reserves With Digital Assets in Future

Amid ongoing sanctions, the government of Russia has been working to limit the country’s dependence on the U.S. dollar. The Ministry of Foreign Affairs now says it’s possible to partially replace the greenback in currency reserves and trade settlements with other currencies and even digital assets in the future.
Foreign Ministry Official Sees Russia Acquiring Digital Assets to Reduce US Dollar Dependence
In its efforts to counter the negative effects of expanding U.S. sanctions, the Russian Federation is putting an emphasis on “dedollarization,” Deputy Foreign Minister Alexander Pankin remarked in a recent interview with the Interfax news agency. The “purposeful work” aimed at limiting the influence of the U.S. dollar on the domestic economy and foreign trade operations is decreasing the “sanctions risks,” the high-ranking diplomat added.
However, challenges associated with these sanctions still remain, and Pankin stated that Russia’s “settlements with major trading partners need protection and stability in the context of the currency used.” For the time being, Moscow is not facing sanction threats with euro settlements and transfers, but U.S. dollar payments. Pankin explained these go through U.S. banks and clearing systems which allow authorities in Washington to block any transactions they view as suspicious.
Alexander Pankin
In these circumstances, Foreign Minister Sergey Lavrov’s deputy thinks the expediency of further reducing the share of the dollar in the nation’s foreign currency reserves as well as its use in international settlements is beyond doubt. Russia can replace the U.S. fiat money with other national and regional currencies “and in the future, probably, with some kind of digital assets,” Pankin pondered.
This would require significant efforts in bilateral, regional, and multilateral formats, noted Alexander Pankin, who oversees international economic cooperation at the Ministry of Foreign Affairs. Established models of cooperation between states and commercial structures would have to be reorganized and appropriate mechanisms to support the functioning of new settlement systems would need to be introduced, the government official elaborated.

Pankin’s comments come after President Vladimir Putin warned Washington that “the United States is cutting the branch it is sitting on” by undermining the dollar for the sake of momentary political gain. Speaking with CNBC’s journalist Hadley Gamble, the Russian leader admitted that cryptocurrency has value and “the right to exist.” In the interview, published by the Kremlin last week, he stated that crypto can be used for settlements in the trade of oil and other energy resources in the future.
Cryptocurrencies and related activities have been partially regulated with the adoption of the law “On Digital Financial Assets” which went into force this year, but Russia needs to further amend its legislation to ensure comprehensive regulation. While digital coins are viewed as money surrogates and prohibited as payment tools under current law (which affirms the ruble as the only legal tender), the government in Moscow has recently indicated it’s not planning to ban Russian citizens from acquiring cryptocurrencies.
Do you expect Russia to add digital assets to its currency reserves in the future? Tell us in the comments section below.

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Crypto, crypto assets, Cryptocurrencies, Cryptocurrency, currencies, currency reserves, deputy foreign minister, Digital Assets, Digital Currencies, Dollar, Euro, national currencies, Official, Payments, regional currencies, reserves, ruble, Russia, russian, Russian Federation, russians, Settlements, trade, U.S., U.S. dollar

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Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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Pakistani high court orders government to regulate crypto in three months

Pakistani high court orders government to regulate crypto in three months

The High Court of Sindh (SHC), the highest judicial body in Pakistan’s Sindh Province, has asked the government to come up with modalities for cryptocurrency regulation.According to Pakistani English daily The Express Tribune, the SHC gave the instruction while hearing a petition brought before the court challenging the legality of the country’s 2018 crypto ban.The SHC instructed regulators such as the Securities and Exchange Commission of Pakistan (SECP) and the central bank to work with government agencies such as the Ministries of Information Technology and Law to develop crypto regulations within three months.As part of the proceedings, the SHC also requested that a report on the steps taken to regulate cryptocurrencies be submitted in the same time period.As previously reported by Cointelegraph, the SECP has been considering crypto regulations since November 2020.Combating money laundering and terrorism financing is reportedly at the heart of government consultation surrounding cryptocurrencies especially amid pressure from the Financial Action Task Force.The SHC’s instruction on Wednesday puts Sindh as the latest province to demand some form of recognition for cryptocurrencies in Pakistan.Back in December 2020, the Khyber Pakhtunkhwa assembly called on the federal government to legalize crypto. At the time, the lawmakers pointed to the broad-based nature of digital currency adoption as an indication that cryptocurrencies were poised to replace fiat in the future.Related: Pakistan’s central bank is ‘carefully studying’ CBDCs, says governorIn March, Khyber Pakhtunkhwa, another of Pakistan’s four provinces, announced plans to pilot crypto mining farms in the region.Meanwhile, the State Bank of Pakistan (SBP), like many other central banks across the world, is also studying central bank digital currencies.In a separate crypto-related case before the Lahore High Court involving stakeholders such as the SECP, the SBP and the federal government, the court asked for participants to present legal points on the matter in subsequent proceedings.Lahore is the capital of Punjab, another of Pakistan’s four provinces.

Competition drives young traders’ crypto investments, says UK watchdog

Competition drives young traders’ crypto investments, says UK watchdog

Most young investors in the United Kingdom are entering the crypto market thanks to the hype on social media and news, but they are not aware that the market is not regulated, a new study published by the U.K. Financial Conduct Authority (FCA) revealed.The survey revealed that a majority (69%) of the investors under the age of 40 mistakenly believe that crypto markets are regulated. More than three-quarters (76%) of young investors who put money on risky assets like cryptocurrencies, forex or crowdfunding are driven by competition with friends and family. The financial watchdog surveyed 1,000 British investors aged between 18 and 40 who invested in high-risk investment products in a bid to promote its five-year InvestSmart campaign, The Independent reports. Launched with a $15 million budget (£11 million), the campaign aims to raise awareness among young people about high-risk investments. The FCA estimates that more than a million investors in the U.K. have bought high-risk investments during the COVID-19 pandemic.The research found that more than half of the participants use social media, other people, and news stories as key drivers when investing in specific products. While a majority prefera more stable returns than dramatic price movements, only 21% consider holding their most recent investment for more than a year. Commenting on the results, FCA executive director of markets Sarah Pritchard stressed that more people are chasing high returns with higher risks. “We want to give consumers greater confidence to invest and help them to do so safely, understanding the level of risk involved,” she added.Related: Poll shows Brits concerned over the prospect of a digital pound The FCA survey follows Jon Cunliffe’s remarks on crypto regulations. Cunliffe, deputy governor for financial stability at the Bank of England, urged regulators to pursue crypto as a matter of urgency. Cunliffe said that the price volatility of crypto assets “could trigger margin calls on crypto positions forcing leveraged investors to find the cash to meet them, leading to the sale of other assets and generating spillovers to other markets.”

Aussie Senate committee proposes overhaul of crypto taxes, DAOs and exchange licenses

Aussie Senate committee proposes overhaul of crypto taxes, DAOs and exchange licenses

The Senate Committee on Australia as a Technology and Financial Center (ATFC) has just tabled its third and final report in Parliament which has 12 far-reaching recommendations for the regulation of the digital asset and fintech industry down under.It proposes new licenses for crypto exchanges, new laws to govern Decentralized Autonomous Organizations, an overhaul of capital gains tax in DeFi, and a tax discount for crypto miners using renewable energy.In general, the report found that there is a need for more regulatory clarity and certainty while avoiding stifling innovation with onerous requirements.A key recommendation is to establish a new DCE Market License for digital currency exchanges including requirements relating to capital reserves and auditing. The requirements should be scalable so that smaller operators are not squeezed out of the market.The capital gains tax rules should be updated to provide more clarity around the tax treatment for crypto assets and DeFi staking. The committee suggested that unlike in the current system, capital gains tax should only be applied when cryptocurrency transactions “genuinely result in a clearly definable capital gain or loss.”The committee also recommended that the Treasury lead a policy review of the viability of a central bank digital currency (CBDC), as well as put forward a proposal for a company tax discount of 10% for crypto miners who use renewable energy. One world-leading recommendation is to establish a new regulatory structure for DAOs, which refers to decentralized community ownership and governance of a protocol.“DAOs do not clearly fall within any of Australia’s existing company structures… this regulatory uncertainty is preventing the establishment of projects of significant scale in Australia.”Asher Tan, CEO of Australian crypto exchange Coinjar, praised committee chair Senator Andrew Bragg and the team for “the forward-thinking approach they’ve taken with this proposed regulatory framework. “In our view, the AFTC report strikes a commendably optimistic tone that sees blockchain technology as the historic innovation that it is — and one that comes with matching opportunities and risks.”The committee heard from a range of experts and industry players including Blockchain Australia, leading exchanges, and firms such as R3 and Ripple. The latter recommended that any regulatory framework should use a “risk-based approach to identify digital asset services that pose sufficient risk to warrant regulation.”Steve Vallas, CEO of Blockchain Australia, said the organization was keen to hear from stakeholders and industry for their feedback on the recommendations.Senator Bragg said the proposed regulations would help Australia to become a leader in digital assets. “The committee has recommended a comprehensive crypto framework to deliver Australian leadership. We’ll be competitive with Singapore, the U.K. and the U.S. “He added: “This will drive investment and jobs into Australia.”Related: Average Aussie crypto portfolio grew 258% in FY 20–21, survey revealsThe Australian Taxation Office estimated that more than 600,000 taxpayers have invested in digital assets in recent years. Independent research suggests that 17% of Australians currently own cryptocurrency.The report concluded that a robust regulatory framework was required in order to protect consumers, promote investment in Australia, and to remain competitive globally.“The potential economic opportunities are enormous if Australia is able to create a forward-leaning environment for new and emerging digital asset products.”

Iran to Pilot ‘National Cryptocurrency,’ Amend Central Bank Law

Iran to Pilot ‘National Cryptocurrency,’ Amend Central Bank Law

The central bank of Iran is gearing up to begin the pilot phase of its digital currency project in the near future, its new head announced to representatives of local media. The monetary authority is also preparing to move forward with a plan to reform the legislation that governs its own activities.
Iran Preps Pilot for Sovereign Digital Currency
The “national cryptocurrency” of Iran will enter its pilot stage soon, the recently appointed Governor of the Central Bank of Iran (CBI) Ali Salehabadi has unveiled. Speaking to reporters after his first meeting with lawmakers, the high-ranking official said the regulator is now studying potential risks and benefits associated with the initiative. Quoted by IRIB News and the Financial Tribune, he explained:
The pilot trial will start, once the Money and Credit Council approves it.
Salehabadi, who has been heading the CBI since Oct. 6, did not provide any further details regarding the Iranian central bank digital currency (CBDC). According to the English-language business daily, the new phase of the project is likely to be in line with earlier plans for the development of a national crypto.
The report notes that three years ago the Informatics Services Corporation, CBI’s subsidiary operating the country’s banking automation and payment services network, was tasked to develop a sovereign digital currency. A CBDC prototype was designed using the Hyperledger Fabric platform, later statements by its representatives revealed.
It became clear that the digital version of the Islamic Republic’s national fiat, the rial, was being developed on a private blockchain. Unlike cryptocurrencies based on public blockchains such as Bitcoin, the Iranian state-issued coin is not going to be mined.
The public was never updated on the progress of this initial project until more recent announcements came out that a “crypto rial” plan is underway. Officials have emphasized that the Iranian crypto is going to be a digital currency circulated by the CBI and not a decentralized cryptocurrency that could be used for small, cashless transactions, the publication details.

New Commission to Prepare Amendments to Iran’s Central Bank Law
Besides the digital currency announcement, Iranian media has also learned that the central bank’s new management and members of the Majlis agreed to establish a joint commission tasked to reform the legislation concerning the CBI. Its members will be expected to quickly finalize a long-awaited plan to update the law that governs the central bank’s activities.
Governor Salehabadi also said that a special working group will be formed to clarify the positions of the bank and the government regarding cryptocurrencies. While, executive authorities in Tehran have been going after crypto investing and trading, only allowing banks and licensed moneychangers to use coins minted in Iran to pay for imports, lawmakers have opposed the restrictive policies. They believe that friendlier regulations would help Iran to circumvent U.S.-led sanctions and boost its economy.
Mining has been the one crypto-related sector that has received more clarity in terms of regulation. Iran recognized the extraction of digital currencies as a legal industrial activity in 2019 and introduced a licensing regime for entities involved in the business. And although mining farms have been blamed for electricity shortages during the extremely hot summer this year, restrictions have since been lifted for authorized crypto miners which number over 50, according to the state-run power utility Tavanir.
Do you think Iran will eventually issue its own digital currency? Share your expectations in the comments section below.

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CBDC, cbi, Central Bank, commission, Crypto, Cryptocurrencies, Cryptocurrency, Digital Currency, digital rial, Exchange, Governor, Iran, Iranian, Islamic republic, Law, lawmakers, Legislation, Majlis, Miners, mining, parliament, Regulation, tehran, trading

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Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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