Iranian President Hassan Rouhani urges Muslim countries to work together more financially and commercially to combat US economic hegemony. One of the solutions he proposes is a joint cryptocurrency. Rouhani spoke about this at an Islamic conference in Malaysia.
Dollar is a weapon
According to reports from the Associated Press, Rouhani said it is important to get out of the economic pressure of the United States. This is only possible if countries form a font on a financial level. Rouhani noted that US economic sanctions are used as the most important tools to stay dominant and to harass other countries.
Iran has had to deal with violent protests over the past month as Iranians revolted against a sharp rise in gas prices. Iran had no choice, this increase is a consequence of American sanctions imposed on the country. According to the Iranian president, the US wants to paralyze Iran with these sanctions.
Saudi Arabia is noticeably absent at the conference. Saudi Arabia and Iran are bitter rivals. The two largest Islamic countries in the world, Indonesia and Pakistan, also did not participate in the conference.
As a solution, he proposed financial cooperation between Muslim countries, including the trade in local currency and the establishment of a Muslim cryptocurrency. At the opening of the three-day conference, with leaders from Turkey, Qatar and Malaysia, he said:
The Muslim world should take measures to save itself from the dominance of the US dollar and the US financial regime.
Rouhani also proposed the creation of a common fund to finance technological cooperation between nations. Turkish President Recep Tayyip Erdogan pointed out that Muslim countries should focus on Islamic financing and suggested setting up a working group to investigate this.
The Prime Minister of Malaysia, Mahathir Bin Mohamad, seemed to agree with Rouhani. He pointed out that this was the first time that a cryptocurrency was proposed as a solution:
It seems that if we use the US dollar, there are sanctions that can curb our economic development. We can use our own currency or start a common currency.
Whether it succeeds or not, remains to be seen. It is in line with the wishes of governments and central banks to develop digital currencies.