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For a sanctioned country to create its own crypto currency makes little sense. The west will just ban any use of that currency and they will be in the same boat

For a sanctioned country to create its own crypto currency makes little sense. The west will just ban any use of that currency and they will be in the same boat as before except now they will have a bunch of useless digital tokens. If they want to be able to move money and the potential to purchase goods and services with it, they should use an existing, established crypto. Using something such as Monero/Zcash (pick your flavor of the month) makes far more sense as there is already a widespread supply allowing them to optimally 'wash' their funds. They will likely not be able to convert their crypto currencies into dollars and use those dollars in any meaningful way but they could use the crypto currency to purchase needed goods and services and allow the vendors to worry about fiat conversion. Creating an Iranian cryptocurrency for use anywhere outside of Iran is doa. I don't really understand the point of using it inside Iran either as they have fiat for that.

dragonwriter 8y ago
> For a sanctioned country to create its own crypto currency makes little sense. The west will just ban any use of that currency Crypto advocates often make a big deal out of the idea that states cannot in practice effectively prevent or regulate use of crypto currency.
- Red_Pill_Phil 8y ago
  This. You can't prevent the use of crypto because you can't attack any single point of failure.
  - wonderwonder 8y ago
    I see the scenario playing out like this. Majority of nations declare the new Iranian crypto illegal, thus anyone mining it is guilty of sanction violations. They then crack down on all people mining it. They should be able to locate the majority of those computers relatively quickly. Most countries would quickly follow suit as they don't want the US to accuse them of sanction violations. Then the only people mining and maintaining the block chain reside in Iran. The new crypto currency is effectively dead at that point.
- Barrin92 8y ago
  well sure because that's what crypto advocates are paid for. States can very easily take legal action against businesses that circumvent trade sanctions through crypto currency. And with businesses and institutional investors out of the window, it's uninteresting.

dragonwriter 8y ago

> For a sanctioned country to create its own crypto currency makes little sense. The west will just ban any use of that currency Crypto advocates often make a big deal out of the idea that states cannot in practice effectively prevent or regulate use of crypto currency.

Red_Pill_Phil 8y ago
This. You can't prevent the use of crypto because you can't attack any single point of failure.
- wonderwonder 8y ago
  I see the scenario playing out like this. Majority of nations declare the new Iranian crypto illegal, thus anyone mining it is guilty of sanction violations. They then crack down on all people mining it. They should be able to locate the majority of those computers relatively quickly. Most countries would quickly follow suit as they don't want the US to accuse them of sanction violations. Then the only people mining and maintaining the block chain reside in Iran. The new crypto currency is effectively dead at that point.
Barrin92 8y ago
well sure because that's what crypto advocates are paid for. States can very easily take legal action against businesses that circumvent trade sanctions through crypto currency. And with businesses and institutional investors out of the window, it's uninteresting.