Iranian Government Issues Licenses to 30 Crypto Mining Farms

Jafrin  |  Jun 28, 2021

The Iranian Ministry of Industries, Mining, and Trade has issued licenses to 30 crypto mining units across the country spread across several regions, including Tehran Province.

Iranian Govt Issues Licenses to 30 Crypto Mining Farms

In spite of a temporary ban on cryptocurrency mining, the Iranian Ministry of Industries, Mining, and Trade has granted permission for 30 crypto mining farms to operate across the country, according to a report by the Financial Tribune from 23rd June.

Six licenses have been issued in the Semnan province while the Alborz province has been issued with four licenses. Other provinces include Mazandaran, East Azarbaijan, and Zanjan respectively. The country’s capital Tehran has received only one license to set up a mining operation.

Furthermore, the state has also issued 2,579 establishment permits for new industrial units across the Islamic Republic with Zanjan Province accounting for 305 permits, Fars Province having 262 permits followed by West Azarbaijan with 247 licenses.

In May, Iranian President Hassan Rouhani temporarily banned the mining of cryptocurrencies until September in an effort to reduce the load that is placed on the national power grid resulting in a number of power blackouts amid the hot and dry summer.

Iran Govt Shuts Down on Illegal Bitcoin Mining Farms

The country has made it official that Bitcoin miners must sell their BTC rewards directly to the central bank, which will then be used to fund imports. At the same time, commercial banks and currency exchangers have also been authorized to use bitcoin legally mined in the country to pay for imports.

In 2019, Iran approved cryptocurrency mining as a legal activity and introduced a licensing regime for bitcoin mining farms which were obliged to pay their electricity bills at export rates. Reportedly, 14 bitcoin mining farms were already operating under such licenses since last year.

In a single year, Iranian authorities have shut down over 180 crypto farms in Tehran Province alone. Earlier in June, law enforcement officials confiscated 3,000 illegal mining units while last week, Iranian police seized over 7,000 bitcoin mining machines.

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