Iran Seizes Nearly 10,000 Cryptocurrency Mining Devices

Key Takeaways:

  • Nine thousand four hundred four illicit cryptocurrency mining machines have been seized since march.
  • According to reports, some of the crypto mining operations in Iran are housed in free-of-charge electricity-supplied buildings like mosques and schools.

Since the end of March, 9,404 unauthorized bitcoin mining equipment have been seized in Tehran, according to Iranian authorities.

According to Kambiz Nazerian, the manager of the energy distribution organization in the Tehran region, mining devices were discovered as a consequence of numerous operations performed throughout the city.

Although bitcoin miners in Iran can legally mine provided they are licensed, the government has used power outages as an excuse since last year. It restricts mining activity around the country regularly.

Iranian officials have often publicized the finding of illegal cryptocurrency mining devices in various locations in recent times.

Powerful computers compete to solve challenging mathematical equations or riddles in a process known as “mining,” which is how Bitcoin and other cryptocurrencies are produced. Large amounts of electricity are needed for the process.

According to reports, some of the crypto mining operations in Iran are housed in free-of-charge electricity-supplied buildings like mosques and schools.

On the one hand, government-run schools, mosques, and other establishments For some now, it has been looking into unauthorized mining.

Due to the weakening of the national currency and cheap electricity, Iranians may start mining cryptocurrencies.

According to media sources, bitcoin mining is becoming more popular in Iran because of the nation’s massively subsidized electricity prices and the relatively low cost of electricity there. The rise in cryptocurrency use and mining operations is also a result of U.S. sanctions that prevent Iran from participating in the global financial system.

On the other hand, the government uses cryptocurrency to get over US-imposed economic and political sanctions. This month, the Iranian government $10 million in export business He made a ground-breaking choice by opting to pay with cryptocurrency.

Numerous outraged producers and collectors report that OpenSea, the US-based NFT marketplace, has also purportedly prohibited customers from Iran.

The platform maintains a zero-tolerance stance toward a wide range of people, businesses, and even governments on the US sanctions list. Given that Russia’s invasion of Ukraine is currently making headlines, US sanctions are forcing blockchain-based enterprises to abide by the laws to avoid being investigated.

People in Iran are more likely to use digital currencies now because of the recent decline in the value of the Iranian rial.

Financial transactions may be carried out rapidly and securely without using major banks thanks to blockchain technology, which is employed in digital currencies.

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