On November 5th, 19459003, the United States has implemented the strictest circles of sanctions on Iran to date, and Tehran's ability to significantly do business with foreign entities.

As a result of these sanctions, and the increasing pressure of the US, the Global Interbank Financial Telecommunications (SWIFT) Association, the international payment facilitator, has cut services to the country's central bank. Although Swift is a company in Belgium, some of its largest customers in the United States make it very difficult not to take American threats seriously.

VS. Treasury Secretary Steven Mnuchin explained that SWIFT's move was "the right decision to protect the integrity of the international financial system."

The sanctions that were part of the US campaign due to the withdrawal from the Joint Comprehensive Plan of Action (JCPOA) were met with criticism from other world powers.

China and Russia have declared that they will continue to do business with Tehran, buying and selling goods in euros instead of dollars.

However, the European countries depend largely on SWIFT, and without being a sustainable way of making or receiving payments from Iran.

Following the last circles, both the European Union and Iran proposed two different solutions to this confrontation.

& a New SWIFT

Germany has become the most vocal of the new sanctions, with Heiko Maas, German Foreign Minister, who said: "Europe should not allow the US to act on our heads and at our expense. Therefore it is essential that we are strengthening European autonomy by establishing independent channels of payment channels, creating a European Monetary Fund and building an independent Swift system. "

France's finance minister Bruno Le Maire adopted the call for action and said: "With Germany, we are determined to work on an independent European or French German financial instrument that will allow us to victim victims of the United States. Foreign Territorial Sanctions, and added: "I want Europe to be a sovereign continent, not a banner, which means it contains completely independent financing instruments that do not today does not exist. "

Although there has been little progress with a SWIFT alternative, it is clear that the European Union is busy with the US over-reaction in geopolitical space and becomes more aggressive in its plans to move away from the US dollar and US controlled payment instruments.

Germany is also facing USA about Russian plans to build a new natural gas pipeline, which has repeatedly threatened the US to sanction, and suggests that the EU be more expensive LNG from US sources purchase.

Iran Turns To Crypto

On the other side of the table, Iran is scrambling for its own solutions.

Despite the hard attitude towards bitcoin and other cryptocurrencies in the past, Tehran announced that it will move forward with plans to create its own state-funded cryptokurrency, such as Venezuela's el petro.

The Informatics Services Corporation (ISC) has already developed the country's newly-funded currency, but hurdles remain.

Due to the complexity of the pursuit, the unnamed digital rial requires the approval of the country's central bank.

Seyyed Abotaleb Najafi, chief executive officer of the ISC, explained: "In order to bring about repairs and create new infrastructure in our banking system, banks' back processes still in paper and traditional manner must be changed and developed . "

Conclusion

The value of the Iranian rial has already collapsed with crude oil production, which has caught both citizens of the country and Iranian raw buyers between a rock and a hard place.

The need for a solution is tangible and it is becoming increasingly clear that the US is reluctant to restore its sanctions.

While the EU scrambles to find its own solutions, Iran is completing and approving its government-sponsored kriptokurrency, which still requires a willingness from other parties to accept.

Iran has the same problems as Venezuela's el petro in the same context. President Maduro's currency has no real impact on world trade, and because of its many failures, it will probably never really take root.