Hacker News new | ask | show | jobs
by disgruntledphd2 115 days ago
Yeah basically, but weaponised globally through the dollar system. Basically, if you interact with sanctioned entities you get cut off from banks with dollar assets (basically all of them).

This is how the financial system currently works.
1 comments
embedding-shape 115 days ago
So going back to the original question, "Is Iran supposed supposed to be banned on Binance?" still doesn't have a clear answer?

It might be that Binance are OK with being cut off from banks or what not, and since there is no thing like "global sanctions", and Binance doesn't seem related to the US either legally or by the individuals running the company, they probably don't need to have Iran banned?

link
disgruntledphd2 115 days ago
> So going back to the original question, "Is Iran supposed supposed to be banned on Binance?" still doesn't have a clear answer?

I mean, theoretically not, but practically yes. Basically every bank has dollar reserves and as such get caught up in the sanctions screening process. Again, sanctions are most problematic for entities when used by the US, but the EU and other governments also do this, and if you want to transact in a governments currency, then you need to follow the sanctions laws (severe violations can lead to license revokation which basically kills your business).

Unless you have no connection to the fiat ecosystem, then you are gonna end up subject to these laws. And if you have no connection to the fiat ecosystem, you won't be a particularly useful service to most people or businesses.

link
embedding-shape 115 days ago
Ok, but isn't that then up to Binance to decide themselves, if to allow that to happen or not? Lots of people here seem to assume because US embargoes say this or that, means Binance should obviously make one particular choice, but shouldn't that be up to Binance and/or whatever jurisdiction they're in, in actuality?
link
disgruntledphd2 115 days ago
It's totally up to binance, but being absolutely unable to transact in dollars is a pretty harsh penalty. Normally prison sentences are involved for whoever the head of the US entity is.
link