Germany Aims To Move Away From U.S. Led Financial System

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Germany Aims To Move Away From U.S. Led Financial System

Posted on August 23rd, 2018 in Around the World,Government Regulation by Ryan Warner

Europe's largest economy, Germany, is calling for an independent financial system from the U.S. Leading some to believe this to be positive for Bitcoin.

U.S.-led sanctions against countries such as Turkey and Iran in the last year have inhibited their ability to use the global financial system. 

As such Iran, which previously had a crypto ban, has switched to digital assets in order to trade with allies working around the U.S. sanctions.

This is not only a way to bypass the dollar but the aging and slow SWIFT system as well. The Iranians stating that Russia also shares their sentiment.

SWIFT, backed by the U.S. government, prohibits European business to operate in their commercial interests freely.

Though SWIFT is based in Belgium it is open to U.S. Sanctions and as such has no choice but to accept restrictions set forth by the United States.

Venezuela, Turkey, and Iran have seen drastic devaluations of their currencies and controls which have prevented the use of cash as a form of exchange. This is seeing a rising popularity of cryptocurrencies in thesee nations. Notably with the Venezuelan Petro.

If this trend continues and world economies see a movement away from a U.S.-led financial system it has the potential to dramatically increase the popularity of cryptocurrencies to financial institutions and investors alike.