India will reportedly pay for Iranian oil in rupees as the two countries seek to bypass the US economic pressure on Tehran, industry officials have told the Sputnik news agency.
Under the deal, the payments for oil will be made through India’s state-run UCO Bank, which has no US exposure. The countries are also discussing the barter-like system to avoid US sanctions, Sputnik reports.
Iranian Foreign Minister Mohammad Javad Zarif is on a visit to India this week, where he has met with Indian counterpart Sushma Swaraj. "During the talks, the two sides also exchanged views on a further expansion of ties in banking, energy, trade, insurance, shipping, use of national currencies, Chabahar projects and Chabahar-Zahedan railway," Zarif said in a statement.
- Russia Today
Discarding the Iran Deal along with the implementation of new sanctions by the U.S. has already driven Iran to no longer sell oil in dollars, and is pushing several nations to simply bypass the Petrodollar out of fear they too will be hit with an economic salvo.
With China now offering the world an alternative path to buying oil, and more and more OPEC nations becoming tired of being coerced or extorted by Washington, the days of America's control over the reserve currency appears to be dwindling fast.
As emerging market economies start to implode thanks to the rising dollar, the price of gold in many of their respective currencies is soaring. And as is historically true, gold still remains the primary hedge against a falling currency much more than cryptocurrencies do.
In a currency crisis, everyone tries to get out of the local fiat money all at the same time. Gold (GLD) and other real assets like silver (SLV) oil (USO), and commodities in general (DBC) always spike during these times in terms of the collapsing currency, protecting people's purchasing power for those who invest in them during those times. During every currency crisis since the invention of unbacked paper money, gold has always spiked in any given currency as that currency fell. Its record of successfully hedging against currency collapse is pristine.
Over the last several weeks, we've gotten some solid evidence that the answer, at least as of now, is gold. That doesn't mean bitcoin can't outperform gold as a safety net in a currency crisis at some point, but as of now, it's no contest. Gold wins out by a long shot.
Emerging market currencies have been collapsing over the last month. The Turkish lira, Brazilian real, and Argentine peso are all down heavily against the US dollar.
Gold priced in these currencies has risen at nearly the same rates as they have collapsed in dollar terms, meaning gold is successfully hedging against currency collapse
Bitcoin priced in these currencies is still falling over the same time frame. – Seeking Alpha