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Iran blocks 9200 bank accounts over suspicious foreign currency crypto transaction

The concept of cryptocurrency has always raised alarms in the minds of investors. Cryptos run on the blockchain technology and decentralized finance model. Which means there is a lack of intervention by third-party regulatory agencies. In such cases, there is a high possibility of these funds being used for money laundering or anti-theft. The cases of such funds being used to promote terrorism have also been a valid concern, visit https://dogecoin-millionaire.app

Another philosophy of crypto is blockchain technology. it means every user transaction is broken down into various units of blocks. Such transaction chains are then loaded onto a public network. But, the transactions are not traceable back to their original user making it secure.

Does cryptocurrency harm the economy?

Bitcoin became the first crypto to gain a global launch. the primary purpose of this token was to provide peer transactions. This means a person in one country can easily receive funds from another country. The transaction speed is minimal, in most cases less than an hour. Such transactions are not possible in the traditional currency model. In most cases it might take more than three business days to approve such transactions.

This philosophy became an instant hit amongst investors. With this advantage, the number of cryptos also increased. Today, there are more than 14k+ cryptos in the global market. Crypto is targeting a market capitalization of more than 3 trillion in 2022. This indeed is a remarkable journey.

While all these seem to be advantages, let us look at the certain disadvantage of owning cryptos.

Potentially be used for illegal transactions

Yes, you heard it right. this has always been a long-drawn argument of cryptos. since none of these tokens are monitored through central agencies. The investments are not transparent and do not trace back to their original user. Hence, this is a high possibility of this currency model being used illegally. In fact, in the past, there have been reports of recovering cryptos used for money laundering.

Data loss may likely cause financial loss

Yes, every transaction indeed verifies using the private key of a user. This private key is confidential and has unique features linked to the user. So, now if an investor loses his private key then it is highly possible for the investor to lose all his cryptos. Each of these private keys is untraceable with a unique reference code. The crypto wallet has its levels of security making it hacking defensive. Also, each of these private keys has a dual authentication mechanism. it uses pin and biometrics to authenticate any transaction through the crypto exchange.

Decentralized yet controlled by certain authorities

Yes, the decentralized finance model is the primary feature of cryptocurrency. Yet it is a fact that certain authorities still control the flow of crypto in the global market. It is true that the crypto giant Bitcoin also goes through this manipulation in the market. The prices keep fluctuating and contribute to increased demand in the global market.

Certain coins are not accessible through fiat currencies

There are a certain set of crypto tokens that you can buy through fiat currencies. an example of this is Bitcoin and Ethereum etc. But, there are a certain set of crypto tokens that do not allow this. You can use another crypto token to buy a new crypto token.

Why did Iran block bank accounts?

In early May, the Iran Intelligence Ministry blocked the bank accounts of 9200 users. the accounts ran through intelligence analysis over suspicious transactions and foreign currency. This activity was undertaken in collaboration with the central banking authority.

The central authority blocked more than 9200+ accounts that belonged to 500+ users. The official statement stated that transactions were worth more than 60 trillion Iran currency. These transactions were suspicious and reached close to $2 trillion in dollar value. This is not the first time. in December last year, the government went ahead and blocked the accounts of 700 users.

Iran is sure way ahead of others in the crypto industry to track illegal transactions. Before this, the country had closed down more than 7000 mining facilities in the country. These mining units are not authorized to undertake to mine in Iran.

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