Topic: Iran and Russia want to issue new stablecoin backed by gold - page 4. (Read 1033 times)

By complete accident the Edge Autonomy factory in Latvia which is a US owned drone manufacturer that also exports to Ukraine blew up and is still burning.

It's not crazy from their perspective. They've been cut off from world trade because anyone who trades with them is almost possibly going to incur the wrath of trade sanctions from some of the richest countries in the world. A multi million dollar cost is a pittance if it allowed them to open up a new trade route that could result in hundreds of millions, billions or ultimately trillions worth of trade. Unfortunately they both suffer from a huge deficit of trust, even between themselves, that bills will ultimately get settled or that their wider economy is well managed not to implode. That is the underlying problem that a cryptocurrency will not solve, the same incompetent people are still in charge and don't want to change.

Considering they are getting trouble on buying gold or basically just taking physical gold into the nation, its quite possible that these two could get a better life if they focus on making a good amount profit then it would be awesome for them. However, sanctions and all that will cause a lot of trouble and I am guessing that it will be pretty much something that will hurt them even more. I would definitely consider buying it just a bit to make sure I am involved but I think it will be quite tough to follow up later on and would like to see where it goes

The gold that they bought is probably for underlaying the stable coin that they are developing to gain the full trust of users so that their crypto can be trusted in value because they have gold in their safe as the guarantor. Where is this global economy with new technologies and new innovations in the financial and banking system, it is clear that they are completely leaving the United States dollar in their global transactions.
Yes, even though we haven't been able to see how the Stablecoin they are developing works, but so far it's been pretty clear.

If you pay attention to the implicit message there, I mean Stablecoin is not intended to be used as an investment vehicle; instead, they are designed to be used like cash and to mitigate the extreme price volatility of cryptocurrencies. They also have other uses, including spending, transferring value, or redeeming it for goods and services.

I sincerely hope they don't end up pushing this domestically because it has a high chance of failing and it is pointless anyways. But on the other hand if it is used internationally and if it is backed by gold and/or energy that would be fantastic. In that case it would have the potential to easily replace USD in international trades since that is exactly what dollar through SWIFT etc is, a CBDC that is not backed by anything except that this new one would be backed by a lot.

What's being created here seems to be stand alone but I wouldn't be so sure about governments always being so wise as to not use existing shitcoin chains. I've even heard about possibility of using Tether (aka one of the most centralized altcoins) even though it doesn't seem to have actually happened but it shows how little some governments know.

Do not drive yourself into depression because of the attempts of two rogue states, terrorist states, to do something populist. It won't make any sense anyway, and the whole world will still laugh at them. Moreover, there are not many of these modes left in this world
The war unleashed by Russian terrorists in Ukraine, this time rallied both Europe and the whole world. Ukraine has shown that such a huge monster as terrorist Russia can be resisted, answered, and won against this monster. You just need to unite, help and the colossus on shitty legs will collapse!

Yeah, good luck with that--and I don't know when this general insanity is going to end, but I keep telling myself that it has to one day.

Digitizing gold has been done before, more than a decade ago if I'm not mistaken, and there was a company that got busted for not having enough physical gold to back the digital version....I wish I could remember the details, but I think it was right after the internet boom that went bust in April of 2000.

I couldn't care less what Russia or Iran do as far as making a coin backed by gold; what's concerning to me is how a lot of countries seem to be co-opting the cryptocurrency revolution and in the process stray so fucking far from what crypto was supposed to be about in the first place.  Hopefully people will understand that a CBDC is a much different beast than something like bitcoin.  People here on the forum sure do, but I have my doubts about average folks who only know about crypto from what the media tells them.

Ugh.  The future has a dark, dark cloud hanging over its head.

Actually, all countries today cannot refuse digital developments, especially regarding crypto. They will try to go through stable coins, because it is very easy to control the value. However, the government will not accept existing blockchain systems, such as the Ethereum blockchain, BNB and others as a pathway for them to develop crypto stable coins. Because they are worried that one day it will be controlled by certain parties. Then the alternative is for them to develop their own blockchain to develop crypto.
I think it's good, we also don't expect everyone to be on the blockchain that already exists today. With so many blockchains being developed, the competition will be even tougher, and they will compete to present the best.

Iran and Russia just linked their banking system according to Reuters. This is basically linking thier own messaging system. China and Russia have already linked thier MIR and UnionPay so this will enable them to work still amid the sanctions. If Saudis are going to join, they will really be unstoppable.

It's still unsure how the stablecoin will work for them but it must be why central banks are buying up gold since.

source https://www.reuters.com/business/finance/iran-russia-link-banking-systems-amid-western-sanction-2023-01-30/

You mean the magnitude 4.7 earthquake affecting Turkey, Iran, Armenia and Azerbaijan? lol
Iran's region includes Khoy, Tabriz, Rasht, etc.

It is Shahed not Shaheed.
It is also not manufactured in middle of a city of Isfahan.
It also was one structure with civilians in it not 5 and it was a terrorist attack using tiny drones (Quadcopter) which interestingly Zelenskly got too excited about and showed support for the terrorists before finding out that it had failed.

It is really eye opening to know where Ukraine stands when it comes to terrorist organizations.
It also gives Iran the internationally supported retaliation. The US bases in Syria were already bombed last week leaving it with 14 casualties, and the company building the Quadcopter is the next legitimate target alongside the terrorist organizations involved in the attack and those who showed support

Iran is now the main military ally of the Russian Federation, both terrorist countries exchange military technologies and weapons, conduct joint military operations. In this regard, very interesting events took place there on the night of January 28-29. It became known about a number of powerful explosions in Iran. There was information that key military factories were attacked by drones. Also, more than five Iranian military bases were bombed, and there is even a chance that the infamous factory that produced the very "shaheeds" with which the invaders terrorize the Ukrainians was destroyed. Also, some media have spread information that Israel has launched a special military operation on the territory of Iran, but there is no official confirmation yet.

It is reported that numerous cities in Iran itself were under attack - Isfahan, where, among others, the objects of the nuclear program of the Iranian dictatorship, Tabriz, Rasht, Khoy, Hamadan, Keredzh and others are located. There were also attacks on government buildings in Tehran.
A fire broke out at an oil refinery in the Shahid Salimi area. Military bases, weapons factories and oil refineries are on fire (air base in Hamadan, oil refineries in Tabriz and Azarshahri, an ammunition factory in Isfahan (a city 340 km south of the capital of Iran). These factories could also produce Shahed drones, one of the sites located at the Badr Air Base in Isfahan Province, Isfahan is also home to factories involved in Iran's nuclear program.

Some Twitter users say the factory produces warheads for the Shahed kamikaze drones that Iran is supplying to Russia for attacks in Ukraine.

Israel may be behind the numerous strikes on Iranian military facilities on the night of January 28-29. Israel's goal is allegedly the complete destruction of the Iranian military industry. At the same time, Israel has not officially commented on these assumptions. However, right now the Israeli army has begun bringing troops into the cities of Shechem and Beit Ummar (Judea and Samaria). The goal is to eliminate the infrastructure and manpower of local terrorist groups controlled by Iran.

“Tonight we decided to attack terrorist organizations. Our response will be strong, fast and accurate. Whoever wants to harm us, we will harm him too,” Israeli Prime Minister Benjamin Netanyahu allegedly said.

It is noteworthy that Iran, armed with the latest Russian air defense systems, was unable to repulse the attack.

Opposition and protesters have become more active. Shooting began on the streets of Iranian cities, local media reported. In the city of Javanrud, rebels storm police stations and IRGC bases.

Are you serious now? Was it not humor?
Please - explain what kind of stability and stable value does this asset have? Provided that both countries are under sanctions. With a fairly degraded economy, and a complete lack of prospects. Well, let Iran somehow hold on even more or less, but in Russia the economy, the army and everything else turned out to be a dummy and a fake!
I'm sure the best name for their coin would be "Stable" Fake Coin

Bullshit. Gold is the best asset backed by gold. I would not give a cent to anyone - much the less to the RF or Iranian governments - on crypto backed by gold. As simple as that, if you want gold there are plenty of financial instruments to acquire and transfer, crypto does not add anything. To be honest, the best asset backed by gold is having gold, physical gold, and not known by your government if you can.

Iran and Russia are adopting this approach to strengthen their two countries. Russia and Iran will launch a cryptocurrency to replace the US dollar for payments and the value of this cryptocurrency called a stablecoin is less volatile in price than digital assets such as the US dollar or gold and will protect investors from large falls in the broader crypto market. Iran is also collaborating with Russia to create a Persian gulf token that will be used as a means of payment in international trade.

I see that about oil / gas production - you superficially know the topic you are writing about, as well as in many other things

Let me explain - oil and gas is not a water supply system for you, where you can turn on or off the tap with water, thereby increasing, reducing or even stopping the water supply.
For example, both reducing and increasing the "return" of a deposit is a technologically complex process. This is not to unscrew and tighten the valve. In addition, for example, in Russia, most of the fields have already passed the first and second stages of production (read what it is - it won’t hurt you for general development), and are at stage 3. And here is the most difficult thing, that it will be extremely difficult and EXPENSIVE for a technologically backward country implement and support.

Let me explain.
the "primary stage" is the extraction of only the "discovered" deposit. Natural mechanisms still work here, such as, for example, gravity drainage. The production factor at the initial stage, as a rule, does not exceed 15%. During further production, the pressure underground drops and becomes insufficient to further displace oil to the surface.

This is where the "second stage" begins. It typically consists of delivering external energy to the reservoir by introducing liquids (eg water) or gases (eg air, carbon dioxide) to pressurize underground. The average recovery factor after primary and secondary operations usually does not exceed 45%. But it is not eternal either. And we are approaching the third, final stage of oil production. Which is carried out using different technologies. The first of these reduces the viscosity of oil by heating. Another one is the injection of gas into the reservoir (carbon dioxide). And the last method is the so-called “chemical flood” method. It consists in mixing dense, insoluble polymers with water and introducing them underground. Tertiary production makes it possible to achieve an additional 15% of the volume of oil from the field.
So once again - most of the fields that are currently operating are either already at the third stage or are finishing the second. This has even been officially confirmed, you can read the reports of Rosneft and other production operators on production forecasts for the next 10-20 years. It talks about a noticeable drop in production due to the depletion of deposits.

And the conservation of deposits, for the same Russia, is a technologically irreversible procedure. And insanely expensive.

And further. Guess one of the reasons why Russia sells its oil and gas to China and India for a penny? I answer: because Russia has very small storage facilities! And after they are filled, the only way out will be either to burn the extracted raw materials, or to conserve the deposit! And this and that - pure losses, without the slightest chance of profit!
And here, for example, in Ukraine - the largest gas storage facilities in Europe, without which the gas transmission network, which Russia actively used. True, before unleashing a terrorist war against Ukraine, and economic terror against the EU.

So if there are no special problems for the Middle East, North American and other suppliers, then in Russia "everything is not clear." And given the sanctions and limited access to technology, the prospects are simply sad. no matter how hysterical propagandists are with fairy tales

A new crazy story from rogue / terrorist countries who once again want to "defeat the United States and nobody needs the dollar." At the same time, all such regimes keep their personal money in dollars )))





Here you understand what's going on. Digital currency - it is generally not backed by anything! A brick painted with gold paint has at least some value. And a digital currency is... nothing Transparency is certainly indicative, but no country will ever fully disclose its financial data, never !!!! Tell me, why, for example, Russia has classified the same since the summer of 2022, a lot of ordinary budget indicators? And do you believe that those who hide generally accepted indicators will use a "fully transparent monetary system"? Are you seriously ?!

It looks like competition to me, other countries never liked how it's always the dollar taking the lead, USD is very powerful and other powerful countries will always come up with something new that can over throne the US dollar, Russia always like standalone stuff I don't know why they decide to partner with another country on this one, something must be cooking behind the scene, and believe me, it's powerful.

Recently, the last of the largest banks in Russia was banned from using the dollar in settlements with other states. In trade with Pakistan, Russia has already agreed to use even Pakistani rupees. In Russia, difficulties simply appeared in using the currency in trade transactions with other states. It is unprofitable for other states to take Russian rubles now. Russia continues to fight, its economy is slowly falling apart both from the war and from the imposed sanctions. Therefore, the ruble will continue to fall in price and this process will take a long time. Therefore, Russia had a need to create something new, and in order for this currency to inspire confidence, it is backed by gold, which is also under sanctions.

Producers of fossil fuel would be the main countries that use them to back their currencies and they don't need storage space since it is already stored in natural storages underground, they just increase/decrease their extraction if they need to.
As for the price, it is going to be challenging but the challenge is not specific to fossil fuels, any asset is going to have volatility and usage of fossil fuels this way could actually decrease their volatility significantly.
As for replacement, I don't see them replaced in our lifetime even electric cars need electricity that is partly generated using fossil fuels not to mention that a huge number of products are being created from fossil fuels which can never be replaced.