Submitted by Steve Brown…
The president’s “maximum pressure” campaign still has time to run. And when two donors proposed an attack on Iran to Mr Trump before leaving office, the subject of Iran’s in-part reliance on crypto arose. That’s because the Central Bank of Iran supports Bitcoin.
But considering that 77% of BTC is hard cached and with a US dollar valuation of $350Bn, only about $76Bn US in BTC is actively traded. Considering that Iran’s GDP is $440Bn the Central Bank of Iran is only in part dependent on bitcoin. Even so, speculation related to such a BTC hit on Iran is worth a go.
Even before Trump’s donors pressed for that attack, the Department of Justice was asked to provide an ‘enforcement framework’ for crypto which was released on October 8th, 2020. Coordinated voices within the SEC had expressed concerns about crypto, including China’s head start; issues with payment systems which cause crypto to be preferred for black ops, illicit transactions, and ‘gray market’ currency operations as well as capital flight.
But the US’s scope to limit Iran’s access to BTC was more immediate and the Treasury proposed SWIFT-like tactics, where the Treasury’s OFAC enforcement enforces bitcoin exchange compliance with US sanctions and weaponization of the US dollar. This precedent was set by the Bittrex BTC exchange in 2017. However In 2019, the US Treasury wished to maintain trust in Bitcoin and allowed Bittrex to selectively ease restrictions. Even so, peer-to-peer exchanges such as LocalBitcoins, Coinbase & Binance will not accept Iran-based bitcoin wallets.
Considering Bitcoin’s listed exchanges, we see that nations of the Non-aligned Movement (ie NAM or non-G20) are largely excluded. That’s a problem for claims that crypto – specifically bitcoin — circumvent all major central bank controls everywhere. However Iran has discovered successful methods to avoid US Treasury restrictions on bitcoin. As a result, the Joint Chiefs concluded that increased restrictions on Iran’s access to crypto exchanges would have little effect, and would only raise public awareness about bitcoin, which is undesired by the federal government.
Also, it must have occurred to the White House and its military advisors that an attack on Iran’s crypto capability – for example bombing Iran’s power stations which provide very inexpensive power for crypto computing – would provoke a wider war with little visible effect, other than typical deadly US militarist aggression. The assassination of Iran’s top scientist made far more sense to the war criminals of course. Even so, Trump’s donors are not necessarily appeased by this assassination.
The NSA’s SHA-256 encryption is at the core of all crypto transactions. Whether the NSA has a backdoor into that algorithm is still in dispute, but so far there is no evidence such a crack exists. Even if an NSA crack does exist, to ‘stuxnet’ Iran’s crypto operations would take the entire system down, destroying a $350Bn US slush fund called Bitcoin, and that is not in the US Treasury’s interest.
As for bitcoin, let’s examine a few issues formerly unaddressed. For one, the allegedly criminalized BlackRock financial megalith is touting bitcoin — that’s a problem. BlackRock colludes with the Federal Reserve (Exchange Stabilization Fund) in its various market scams. And America’s largest criminal bank JP Morgan, is also touting bitcoin. Idea being that primary dealer banks and insiders will possess enough knowledge to bail, presumably when the SEC and Treasury/Fed are ready to enforce their own crypto currency standard on the public by law. By definition, the current US ‘regulation’ for crypto — or lack of it – cannot be maintained when crypto takes a sizable share of US dollar reserve currency percentage. It’s ironic too that Bitcoin Messiah’s who were previously most critical of the criminal banks and central banks are now cheering potential central bank involvement in bitcoin. The irony is rich.
In China news, rumors still abound that Bitcoin exchanges may be derailed by the government. China’s OKEx has already experienced a ‘mysterious issue’ that bitcoin advocates choose to ignore. Bitcoin advocates consider all that to be fake news, probably because bitcoin is profitable for bitcoin farms in China at present. A canard or not, who knows?
The gist here is that enough bitcoin remains to calculate that it will take one hundred years plus to get to the last equation.* But as time goes on and ‘halving rewards’ are halved, the effort and time to calculate the last remaining codes will likely prove unprofitable, regardless of fees realized. Even so, no system lasts for one hundred years in this present age and when bitcoin takes serious US dollar market share the Powers-that-Squeeze will certainly act.
Interesting too that in the recent Fed/Treasury Congressional hearing, Maxine Waters cut-off the mic of the Ohio representative who asked a question about the Federal Reserve’s “plans” for crypto. Powell/Mnuchin were not allowed to answer the question. And the ‘financial questions’ from Congress were more like softball sweets presented by fawning lapdogs to their owners.
Yes, this contrarian article will come under heavy flak. The bitcoin messiah’s and their fanatical proselytizing are extant — actually another red flag. But let’s consider one last question: Was crypto invented by the CIA? Only Satoshi Nakamoto the inventor of Bitcoin can tell us for sure — called by his English-translated name that’s, “Central Intelligence”. If there’s any good reason to shun crypto it’s that one… that is until the Fed/Treasury forces their cashless society upon us by law… in the Great Reset!
*Proposals exist to change the BTC protocol to allow more.
The statements, views and opinions expressed in this column are solely those of the author and do not necessarily represent those of The Duran.