#Iran
A major Iranian private bank, Ayandeh Bank, has declared bankruptcy, impacting over 42 million customers whose assets are now managed by the state-owned Bank Melli.💥
The bankruptcy follows $5.1 billion in losses and almost $3 billion in debt, as local rescue efforts by Iran’s central bank failed.
This example highlights the risks of traditional banking, where customer deposits are lent out and banks depend on bailouts if things go wrong. Such incidents echo reasons behind the creation of Bitcoin, as noted in its genesis block’s reference to bank bailouts.
The Iranian crisis is compounded by international sanctions, cutting access to global finance and weakening the rial’s value. The central bank has warned that eight more local banks face potential closure without reforms. Recent bank failures in the US similarly drove a surge in Bitcoin’s price, reflecting public distrust in traditional finance. In Iran, even crypto exchanges like Nobitex have faced security breaches – a hack in June resulted in a loss of $81 million, contributing to an 11% drop in cryptocurrency flows amid geopolitical tensions and banking instability.