Iran launches gold-backed cryptocurrency 'PayMon'
The Iranian authorities have launched a gold-backed cryptocurrency called “PayMon” (the Persian word for “covenant”) in cooperation with 4 local banks to get round the international sanctions. A total of one billion PayMon tokens are set to be issued initially.
According to bankir.ru and referring to ForkLog, these four banks consist of Parsian Bank, Bank Pasargad, Bank Melli Iran and Bank Mellat. The cryptocurrency is expected to be represented at the Iranian over-the-counter (OTC) exchange called Fara Bourse.
As explained by Valiollah Fatemi, director at Ghoghnoos, the PayMon will be used to tokenize the financial institutions’ assets and properties. It will help to evade the international sanctions and minimize the negative effects for the economy from the SWIFT’s refuse to work with the local banks.