Digital Rial Testing Set To Begin In Iran This Week

In August, the country's central bank released a draft document that talked about the goals and opportunities for a digital currency.

According to the news service of the country's Chamber of Commerce, Industries, Mines, and Agriculture, the Central Bank of Iran will start a central bank digital currency (CBDC) pilot on Thursday.

The CBI was quoted in the report as saying that the goal of the “crypto-rial” is to make banknotes into things that can be programmed.

The bank put out a draft of a document in August that talked about the “goals, dimensions, threats, and opportunities for the development” of a digital rial. This announcement comes after the draft.

In May 2021, Abdolnaser Hemmati, who had been governor of the CBI, said that the bank had already made a “primary version” of a digital rial. Ali Salehabadi, who is in charge of the CBI right now, said earlier this month that the bank already had the rules and infrastructure in place for a CBDC.

Even though the government of the country sees crypto as a way to get around strict U.S. sanctions, and even ordered a $10 million import order to be paid for in crypto earlier this year, the CBI hasn't said much about its work on a digital rial or what it will be used for.

The report says that digital currency is not meant to compete with global cryptocurrencies like bitcoin.

When asked for a comment, the central bank did not answer right away.