[2018-09-06] Bitcoin Hits $24,000 In Iran After Government Okays Mining

[Taki]

I'm not an expert. How it was possible that the price inside of concrete country suddenly became different from the global market? I though everywhere the price for crypto should be approximately the same, plus minus couple of dollars.

[jjacob]

I'm not an expert. How it was possible that the price inside of concrete country suddenly became different from the global market? I though everywhere the price for crypto should be approximately the same, plus minus couple of dollars.

It usually is the same, if there is capital convertibility. Arbitrageurs step in to take advantage of price differences, and ensure that the price converges, if there is capital convertibility. In cases like Iran, it is not possible to send dollars and buy bitcoins because of sanctions. Hence there can be wide price differences.

[Taki]

I'm not an expert. How it was possible that the price inside of concrete country suddenly became different from the global market? I though everywhere the price for crypto should be approximately the same, plus minus couple of dollars.

It usually is the same, if there is capital convertibility. Arbitrageurs step in to take advantage of price differences, and ensure that the price converges, if there is capital convertibility. In cases like Iran, it is not possible to send dollars and buy bitcoins because of sanctions. Hence there can be wide price differences.

Hmm thanks for explanation. So, no matter for the huge price on the exchanger Iranian people will not able to play on it because of dollar is not available there. Am I right?