Regular Users Feeling the Heat

The use of cryptocurrency to bypass international sanctions became more evident as reports surfaced that Iran and Russia were looking into the possibility of facilitating bilateral trade with the use of cryptocurrencies.

The countries had begun engaging with each other to explore using cryptocurrency transactions as an alternative to the SWIFT interbank payment system - which Iran has had little or no access to due to the international sanctions.

As Iranians wait for clarity on the promised state-run cryptocurrency, local crypto users have been dealt another blow to their access to trading support.

On May 24, popular cryptocurrency exchange LocalBitcoins announced a ban on users in Iran.

"Localbitcoins is one of the most popular cryptocurrency trading platforms in Iran. According to Localbitcoins, in February during an eight week period of rapid growth, Iranians tripled their trade on its P2P platform. Nearly 34.56 billion IRR [$820,805] changed hands during the seven-day period, comprising the eighth strongest week on record when measured against fiat currency."

From there, users can buy bitcoin and other cryptocurrencies, then proceed to trade using Bittrex or Binance through the use of a VPN. Another source from Iran highlighted two more popular platforms that have stepped up to fill the void left by LocalBitcoins.

Another p2p exchange, keepchange.io, also reached out directly to Iranian cryptocurrency users through a blog post on Medium.

There has been a "Gold" lining for cryptocurrency adoption in Iran over the past few months, following a move to develop a gold-backed cryptocurrency in the country.

Over-the-counter cryptocurrency exchange Iran Fara Bourse will list the cryptocurrency.

Amid the economic turmoil facing Iranians, the news is a welcome boon for cryptocurrency users in the country.