Iran, India and The EU Are Running Out of The US Control

Many people are familiar with the situation when two not directly related facts illustrate significant changes on the world stage. German Foreign Minister Heiko MAAS said that the European Union needed to create its own analogue of the SWIFT system. At the same time Iran declared its readiness to issue its own cryptocurrency. These two events have a common denominator, that is the United States.

So, the Center for National Cybersecurity of the Islamic Republic reported that the draft law on the national cryptocurrency was ready. It fully corresponds to the tasks set by the Iranian President Hassan RUKHANI. According to the head of state, the new means of payment must have all the positive qualities of fiat money, while at the same time helping to balance the consequences of American sanctions and the fall of the real rate.

Initially, the law was prepared by the government Department of Science and Technology. In the draft normative act, a mechanism for launching and introducing a cryptocurrency into the economy of Iran was registered. Then the document was submitted for approval to the Cybersecurity Center, and at the moment the Central Bank is checking the financial side of the case.

It is expected that the final version of the law will be submitted to the parliament in September. Evidently, the Iranian authorities were able to clear the moral barrier that Bitnewstoday.com has already written about.

In general, the first month of autumn this year pretends to become a fateful one for the crypto economy. On September 11, the Supreme Court of India assemble to recognize, as we have said, the legitimacy or illegitimacy of digital assets. The hearing on the draft law on cryptocurrencies in the Russian State Duma was scheduled for autumn. The US regulator (SEC) also postponed the solution of the bitcoin-ETF issue until September. If all cases and measures are resolved in favor of the legitimacy of the reproduction and use of virtual assets, it will be quite possible to talk about the global acceptance of the value of cryptocurrencies and the step towards a new economic and legal reality.

Although one can hardly believe this will happen. Too different interests have converged. Experts, officials, and parliamentarians have diametrically opposite tasks. Ones have to come round the sanctions, while the others, on the contrary, have to turn the market’s direction to their own benefits.

The initiative of the European Union to create the system of the bank-to-bank informational exchange (the SWIFT analogue) has the same cause as the Iranian cryptocurrency – the US sanctions against Iran. The business of the Old Continent was disappointed by the renewal of the oppressive policy on the Persian state. Moreover, to say “disappointed” is to choose the words carefully. Many financial companies and banks of Europe suffered the US sanctions directly. Mere fact: after the exit of the US from the nuclear deal Teheran took about €300 million in cash away from the Bundesbank. At the moment, the government of the Islamic republic is buying food and medicine for this money.

“In this situation, it is strategically important to let Washington know that we are ready to cooperate but we will not allow going over our head", - the foreign minister Heiko MAAS said. He also emphasized that the new exchange system would become a great instrument for the legal security of the investors from the US.

Political ambitions seem to have got the US cornered. The world power has to save its dominating position in the global finance. On the one hand there is the national Iranian cryptocurrency, which can help conduct uncontrolled payments with customers and exporters, on the other hand there is European pushback. How can one cope with this?

Everything is clear with Europe. NATO-led formal and informal agreements are still in force. The States has levels of influence on the opponents.

The situation is more complicated in the crypto sphere of economy. There is no NATO here. But even here two ways of development of events are possible. The first is to regulate the market of digital tokens at home so as to exclude the appearance of "problem" assets on it. Further, under the political pressure, to extend its regulatory system to the countries where the world's leading crypto exchange areas are located, including Japan, South Korea, Australia, Malta, Hong Kong. The second is to invest about $ 500 billion controlled by the US government and buy up the virtual market in the bud and to make all leading exchanges, crypto exchange companies, and platforms American. But then, it will be necessary to fully authorize the turnover of virtual assets within the country in order not to lose the invested money.

Whatever happens, the USA will not give up their hegemony for any particular reason. In September, we are to wait for the new round of the battle for the crypto market.