More

    Here’s Why Trump Threatening Iraq of Losing Their Oil Reserves is Bullish for Bitcoin

    • The US killed top Iranian general in Iraq, Iraq wants to remove US troops from the country, US warns of more sanctions and holds their money hostage
    • The weaponization of fiat currencies and central banks would push people to start adopting Bitcoin

    Iraq could lose access to its critical government bank account if they kick out American forces, warns Trump administration according to Iraqi officials. The reports came after US airstrike killed a top Iranian general, Qassem Soleimani at Baghdad International Airport.

    The Iraqi parliament than on Sunday voted to urge Prime Minister Adel Abdul-Mahdi to remove about 5,300 US troops.

    In response, President Trump has threatened to place economic sanctions on Iraq which would also extend to Iran. He could also end waivers that allow Iraq to buy Iranian gas to fuel its generators that supply the country's most of the power.

    The White House is putting a lot of pressure on the prime minister over addressing US troops without enduring financial and economic loss.

    However, Mahdi argues, they can only avoid conflict in Iraq by forcing out American troops. He was warned about the central bank account in a call on Wednesday, an Iraqi official told the Wall Street Journal.

    A Jolt to Iraq’s Shaky Economy

    The State Department warned that the US could shut down Iraq’s access to the country's central bank account, where its international oil sales revenue is kept, at the Federal Reserve Bank of New York.

    Such a move could create a cash crunch in Iraq’s financial system and jolt its already shaky economy, the officials said.

    Like other countries, Iraq maintains its government accounts at the New York Fed. According to the Central Bank of Iraq's most recent financial statement, the Fed held about $3 billion in overnight deposits at the end of 2018.

    Restricting the access to dollars could cause a fall in the value of Iraq’s currency dinar, as it did in 2015. This can then trigger a run for dollars in Iraq in an attempt to secure hard cash by people, companies, and banks and cause broader economic woes.

    Pushing People to Adopt Bitcoin

    Crypto commentators believe this to be a positive thing for Bitcoin. Gabor Gurbacs, digital asset strategist at VanEck said

    “The weaponization of fiat currencies, payment railways and central banks continue during conflicts and everyday life. It’s only matter of time people start adopting independent, apolitical, non-sovereign monies and payment railways, such as Bitcoin.”

    “Not your keys, not your oil revenue,” says Samson Mow, CSO of Blockstream, adding, “Bullish news for Bitcoin. Gold just leads to more of the same problem. Remember the Venezuelan gold stuck in the Bank of England?”

    Last year, US lobbied UK officials to deny Nicolas Maduro’s request to withdraw $1.2 billion worth of gold out of the Bank of England.

    In the face of hyperinflation, economic and political crisis, Venezuela has taken to cryptocurrencies. Not only Maduro launched Petro but also has Bitcoin stash as US sanctions limit access to dollars. It is possible that Iraq resorts to Bitcoin and cryptocurrencies as well.

    Read Also: Bitcoin’s First Successful Beta Test Of Being A Risk-off And Safe Haven Asset

    Bitcoin (BTC) Live Price

    1 BTC/USD =$9,009.0252 change ~ 4.18%

    Coin Market Cap

    $163.84 Billion

    24 Hour Volume

    $6.71 Billion

    24 Hour VWAP

    $8.92 K

    24 Hour Change

    $376.3002

    Get Free Email Updates!

    *Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

    I will never give away, trade or sell your email address. You can unsubscribe at any time.

    AnTy
    AnTy
    AnTy has been involved in the crypto space full-time for over a year now. Before his blockchain beginnings, he worked with the NGO, Doctor Without Borders as a fundraiser and since then exploring, reading, and creating for different industry segments.

    [Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

    [Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here

    3,266FansLike
    2,732FollowersFollow
    4,090FollowersFollow

    Live Bitcoin Price & Latest BTC Chart News

    Today's Latest Crypto News

    Swiss Private Banking Giant Julius Baer Adds Digital Asset Trading And Crypto Custody Services

    The major Swiss wealth management and private banking group Julius Baer just launched, in partnership with Seba, its new custodial and trading cryptocurrency services. The...

    Iran's Ministry of Industries, Mining, and Trade Grant More Than 1,000 Crypto Miners Licenses

    Iran is regulating crypto miners after a new licensing regime has been introduced by the country’s government. According to an official representative from the Iranian...

    CME Gaps for Bitcoin Price Fill over 95% of the Time: Research

    CME Gaps are popular topics that frequently get talked about in the crypto market, which usually has seen Bitcoin dumping. These Gaps occur because unlike...

    The Upcoming Cut in Bitcoin Supply Means Zero for BTC Price Says, Analyst

    Searches for bitcoin halving on Google Trends on an uptrend “Makes no sense” to discuss if the halving is priced in says economist...

    WEF's New Global Consortium To Focus On Cryptocurrency Governance Framework

    The World Economic Forum (WEF) has announced the creation of a global consortium which will come up with a governance framework for all cryptocurrencies...

    BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.