December 8, 2022

The Central Bank of Iran will conduct a trial launch of the Central Bank Digital Currency (CBDC) on September 22, according to the Iranian Chamber of Commerce. announce. The so-called “crypto riyal” has been in the planning stage for several years.

The cryptocurrency was originally launched Scheme For November, according to the Chamber, which said that the commercial bank digital currency is intended to “help improve financial inclusion and serve as a powerful tool for the Central Bank of Iraq to compete with other stablecoins globally.” She added that experts within the country have concerns about the willingness of companies to use central bank digital currency, the public’s understanding of digital wallets, and the impact that the introduction will have on banks.

Cryptocurrency is also seen as a way to counter widespread corruption in Iran. The development of cryptocurrency began in 2018, and the central bank has been promising to experiment with central bank digital currencies throughout the year.

The island Reports The CBDC will run on the Borna platform, which was developed using Hyperledger Fabric, IBM’s open source distributed ledger technology platform. The news agency adds that banks will trade paper riyals in exchange for electronic riyals. Since the platform is licensed, the central bank will select the banks to participate.

Borna was approved in 2019 to help modernize Iran’s old banking system. According to the island’s source, Borna’s platform will allow financial services to be offered for a fee, although that will not be part of the current trial.

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The use of cryptocurrency for payments inside Iran is prohibited, but in August Iranians began using cryptocurrency to pay for imports, which led to concerns among Iranian companies about the lack of regulations on cryptocurrency. The Iranian Blockchain Association has made similar calls in the past.