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Managers of Iran's online gold trading ecosystem have expressed concerns over the abrupt closure of payment gateways for these platforms, stating that government regulations are stifling entrepreneurship.
The shutdown occurred without prior notice, clear directives, or explanations. These platforms, which had built substantial user trust, suddenly lost access to their payment systems. Industry leaders warn that such actions send troubling signals to businesses, as even licensed entities are vulnerable to government decisions.
While authorities cite user security as a reason for the move, critics argue this decision undermines competition and economic stability. The abrupt disruption has caused financial insecurity, psychological stress, and challenges for households dependent on these services.
Impact on Innovation and Trust
The consequences of this action extend beyond economic loss. Entrepreneurs and investors may now view the Iranian fintech sector as a high-risk venture. This creates barriers to innovation and stifles growth in the digital economy.
Hossein Selahvarzi, head of Iran's National Entrepreneurship Organization, criticized the Central Bank's lack of legal transparency in this decision. He highlighted the absence of coordination among regulatory bodies such as the Central Bank, Ministry of Industry, Mine, and Trade (IMT), Stock Exchange Organization, and trade unions. The fragmented oversight has led to conflicting regulations that harm businesses.
Selahvarzi also warned of increased reliance on informal transactions due to the closure of payment gateways. This shift could exacerbate risks such as fraud, money laundering, and lack of transparency, further complicating government oversight efforts.
Monopolization Threats and Economic Implications
Selahvarzi expressed concern about the anti-competitive environment created by the decision. Traditional gold markets and stock exchange funds continue to operate freely while online platforms face restrictions. Critics argue this favors monopolies and undermines innovation in the digital economy.
The move also risks discouraging young entrepreneurs from entering fintech and other digital sectors. This could slow the growth of Iran's startup ecosystem and weaken its competitive stance against regional players such as Turkey and the UAE.
Selahvarzi proposed key solutions to address these challenges, including greater transparency from the Central Bank about legal grounds for its actions. He also suggested forming a joint task force among regulatory bodies to create a unified framework for digital platform oversight.
Concerns from Industry Leaders
Masoud Tabatabaei, CEO of Digikala, criticized the Central Bank's decision as unfairly favoring specific interests. He acknowledged the importance of regulatory oversight but emphasized that prioritizing certain entities at the expense of others is detrimental.
Tabatabaei highlighted significant user dissatisfaction stemming from restrictions on Digikala's gold platform activities. He noted that despite adhering to regulations, his company was unfairly targeted. The closure of payment gateways has caused substantial financial losses and undermined trust among users.
He warned that such actions could dismantle innovative business models, restrict consumer options, and force companies out of the market. Tabatabaei called for more transparent and equitable policies to protect users and foster innovation in Iran's digital economy.
The Road Ahead
Both Selahvarzi and Tabatabaei stressed the need for coherent governance and fair competition in Iran’s digital economy. They called on authorities to implement clear legal frameworks and support fintech startups with financial incentives to rebuild trust and encourage innovation.
As Iran faces increasing global competition in digital sectors, analysts suggest that fostering a supportive environment for entrepreneurship is crucial to maintaining its position in the evolving regional economy.
