• About Us
  • Careers
  • Brand Partnerships
TFI Official Merchandise
TFI English
TFI हिन्दी
Wednesday, March 29, 2023
TFIGlobal
TFIGlobal
Right Arm. Round the World. FAST.
No Result
View All Result
  • Premium
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
  • Premium
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
TFIGlobal
TFIGlobal
No Result
View All Result

Cryptocurrency wars: Iran becomes China’s henchman to destroy Bitcoin to strengthen the digital Yuan

Akshay Narang by Akshay Narang
June 24, 2021
in West Asia
Reading Time: 3 mins read
0
IRAN BITCOIN CHINA
200
VIEWS
Share on FacebookShare on Twitter

China is waging a big war on Bitcoin and other cryptocurrencies. Till now, Beijing was looking to undermine Bitcoin and strengthen its own central bank digital currency (CBDC)- the digital Yuan. However, China has just gone a step further by prompting Iran to undermine Bitcoin.

As per latest reports, Iran has seized 7,000 cryptocurrency mining machines in an abandoned factory near Tehran. Only recently, Iran had banned mining of cryptocurrencies like Bitcoin, and now it seems to be escalating its campaign against cryptocurrencies at the instance of China which wants to endorse its state-backed digital Yuan.

Also Read

Indonesia’s Shocking Decision on Visa and Mastercard!

How a DEA chief in Mexico ended up working with narcotraffickers

JUST IN – Iran seized 7,000 cryptocurrency mining machines in an abandoned factory west of Tehran, the state news agency IRNA reported. Iran banned the mining of cryptocurrencies such as #Bitcoin recently.

— Disclose.tv 🚨 (@disclosetv) June 22, 2021

Cryptocurrencies themselves have developed in aftermath of the failure of the traditional banking and financial system during the global financial crisis in 2008. The cryptocurrencies created an alternate, decentralized system in which transactions could be made without going through a central authority or a centralized ledger.

Also, cryptocurrencies keep records of all transactions publicly available and stored on lots of different computers. In order to verify transactions, cryptographic algorithms are used where Bitcoin miners come into play. They use their computers to carry out complex cryptographic work for adding new transactions to the ledger. In return, they get a small amount of cryptocurrency themselves.

Many countries like El Salvador are also beginning to rely on cryptocurrencies because they feel that this system is more egalitarian and fair. It bypasses the centrality of the US Dollar in global financial transactions. And therefore, the US is no longer able to abuse its dollar hegemony for imposing harsh financial sanctions on rivals.

Yet, China has been a longtime opponent of the cryptocurrency system. Beijing has its own reasons to oppose Bitcoin and other cryptocurrencies. Firstly, China has its own ambitions of making Yuan a global currency and displacing the US Dollar. So, it doesn’t really fancy a decentralized system that would not allow any national currency to monopolies the global financial system.

And secondly, China itself would not have fancied the cryptocurrency system because of the high level of decentralization and anonymity offered by the technology. China, being a totalitarian regime, doesn’t want to lose regulation and control over financial transaction which is why it started opposing Bitcoin and other cryptocurrencies.

In fact, China has been waging a war on cryptocurrency and mainly Bitcoin for quite some time now. It banned cryptocurrency mining and turned hostile against cryptocurrency miners, after releasing the State-backed digital Yuan.

As for Iran, the Shi’ite country has felt the pain of American sanctions and Dollar domination in global financial transactions. So, it has no qualms in helping the rise of Chinese state-backed digital Yuan and undermining Bitcoin or other such cryptocurrencies.

In fact, it is speculated that China might choose a non-Dollar payment mechanism for paying hundreds of billions of dollars to Tehran under the China-Iran pact. Other reports have also discussed the idea of a non-Dollar payment mechanism between Beijing and Tehran.

China’s engagement with Tehran clearly incorporates its plans to challenge both US Dollar domination and the meteoric rise of cryptocurrency. For China, the use of a single-source, State-backed currency called the digital Yuan in international transactions will give it unprecedented diplomatic leverage over its rivals.

On the other hand, the US is itself witnessing a peculiar backlash against mining of Bitcoin. Influential Democratic lawmakers like Elizabeth Warren are pushing back against Bitcoin, while arguing that cryptocurrency transactions consume too much of energy and ruin the environment. When the Democratic lawmakers push back against Bitcoin, it directly helps China in working towards its ambition of internationalizing Yuan and undermining competitors like Bitcoin.

China already has a strategy to undermine cryptocurrencies, and ir is pushing its own digital currency for the purpose. This is high time the US did something about this, or else the digital Yuan would grab a huge market in global financial transactions. Other countries, particularly Beijing’s rivals, too start working on their digital currencies for the sake of national security and for avoiding dependence on a China-backed currency in global financial dealings.

ShareTweetSend
Previous Post

With the new IT laws firmly in place, India has turned Twitter into a punching bag for 1.4 billion people

Next Post

Erdogan’s chutzpah: Creation of Istanbul Canal, total control of the Black Sea and war from all sides

Also Read

Netanyahu gets a War Fever against Jordan

Netanyahu gets a War Fever against Jordan

March 24, 2023
Iran relations

NATO fears losing out to Iran

March 22, 2023
A BRICSy Middle East! Raisi and MBS join forces leaving Biden out of equation

A BRICSy Middle East! Raisi and MBS join forces leaving Biden out of equation

March 11, 2023
Quake Diplomacy: Will Turkey, Greece, and Armenia let bygones be bygones?

Quake Diplomacy: Will Turkey, Greece, and Armenia let bygones be bygones?

March 2, 2023
Load More

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

I agree to the Terms of use and Privacy Policy.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

  • Trending
  • Comments
  • Latest
Romania’s rising star, Diana Sosoaca is making the West anxious

Romania’s rising star, Diana Sosoaca is making the West anxious

March 27, 2023
Africa kicks dollar to the curb

Africa kicks dollar to the curb

March 14, 2023
Did Ukraine use innocent civilians as human shield against Russia in the name of evacuation?

Did Ukraine use innocent civilians as human shield against Russia in the name of evacuation?

May 9, 2022
Trudeau just passed a law that could eradicate Canadian economy entirely

Trudeau just passed a law that could eradicate Canadian economy entirely

March 24, 2023
Ukraine China

Strange! Zelensky has never challenged Russia’s best friend China

March 23, 2023
Indonesia’s Shocking Decision on Visa and Mastercard!

Indonesia’s Shocking Decision on Visa and Mastercard!

March 28, 2023
How a DEA chief in Mexico ended up working with narcotraffickers

How a DEA chief in Mexico ended up working with narcotraffickers

March 28, 2023
US and its European lackeys are trying to kick Russia out of the WTO, but it’s not happening

US and its European lackeys are trying to kick Russia out of the WTO, but it’s not happening

March 28, 2023
Trudeau chooses the most environment unfriendly hotel in Egypt to attend an environment summit

Trudeau chooses the most environment unfriendly hotel in Egypt to attend an environment summit

March 28, 2023
Going all in: UK’s African Gambit aims to score big at UK-Africa investment summit

Going all in: UK’s African Gambit aims to score big at UK-Africa investment summit

March 28, 2023
Youtube Twitter Facebook
TFIGlobal
  • About us
  • Contact Us
  • Terms of use
  • Privacy Policy

©2023 - TFI MEDIA PRIVATE LIMITED

No Result
View All Result
  • Premium
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean

©2023 - TFI MEDIA PRIVATE LIMITED

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

Follow us on Twitter

and never miss an insightful take by the TFIGlobal team

Follow @tfiglobal
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. View our Privacy and Cookie Policy.