On August 5, 2019, the Iranian government<a href="https://www.presstv.com/Detail/2019/08/04/602684/Iran-regulations-cryptocurrency-mining-government"> introduced</a> new regulations regarding the trade and sale of cryptocurrency. This comes in the wake of the heightened interest in digital currency mining as a more natural way of accessing the global currencies at the time of US sanctions. The governing body and the banking systems say they won't recognize any dealings involving digital currencies as legal tenders and the Central Bank of Iran won't provide any guarantees on their current value.

<h2>New Regulations on the Use of Cryptocurrency</h2>
Nonetheless, it has been said that mining digital currencies would be permitted inside Iran under constrained circumstances. These include miners to seek the approval of Iran's industry ministry and not engaging in mining activities within 30-kilometers of all provincial centers. However, this rule does not apply in the Capital Tehran and Esfahan, its central city, where stricter restrictions come into play.

The new regulations saw the central bank recognize and allow international cryptocurrencies which comprise of bitcoin, Iran's upcoming sovereign cryptocurrency, which is a central bank cryptocurrency, and regional cryptocurrency.

Under authorization were<a href="https://www.investopedia.com/terms/i/initial-coin-offering-ico.asp"> initial coin offering</a> (ICO), tokens, cryptocurrency wallets, cryptocurrency exchange bureaus and mining-the procedure of obtaining cryptocurrency via the employment of computing power.
<h2>Miners to Be Charged for Electricity Like Industries Unless Otherwise</h2>
When issuing directives for the fees, the bill has further on said firms which are allowed to operate would be charged for the power or natural gas expended to generate electricity based on the prices used for the export of energy from Iran.

The Deputy Governor for the central bank for innovative technologies, Nasser Hakimi, assured attendees of the electronic banking conference on Tuesday that the draft regulations are still susceptible to changes in the community's feedback.
<h2>$10 Million Daily Transactions</h2>
However, if Iran allows for the use of cryptocurrency as a way of payment in the country, Soheil Nikzad, board member of the<a href="http://iranblockchain.org/en/"> Iran Association of Blockchain</a>, has said that around $10 m will be transacted daily in Iran.

The bank has allowed the development of digital currency wallets beyond international cryptocurrencies by those permitted to operate. It has further recognized cryptocurrency mining as an entire industry.
<h2>The Trading of Tokens</h2>
It has said in the bill that tokens can, however, be traded by certified banks and may in licensed crypto exchange bureaus. Tokens which are not backed by the national currency, the rial, cannot be used as a means of payment.

<a href="https://www.cryptoknowmics.com/crypto/48-cryptocurrency-exchanges-now-approved-in-the-philippines/">Cryptocurrency exchanges</a> that are licensed will also need to come up with full anti-money laundering and "know your customer regulations" and will primarily be responsible for safeguarding the customers' money.

It is not yet clear when the central bank's regulatory framework will be fully in service.

Central Bank of Iran Issues New Rules to Regulate Cryptocurrency

Am Wayne, a Blockchain enthusiast and expert in crypto trading. Currently, I cover trendy issues on digital currencies.

Central Bank of Iran Issues New Rules to Regulate Cryptocurrency

Top Picks