By the end of September, Iran will once again allow Bitcoin and crypto miners to operate in the nation. Authorized Bitcoin miners will be able to resume mining operations.
According to the Financial Tribune of Iran, Tavanir, the country’s electricity-producing organization, announced the decision in August.
Iran’s government outlawed Bitcoin (BTC) and crypto mining businesses in May, as Cointelegraph previously reported. The decision was taken to prevent miners from overloading the grid during the hot summer months, according to reports.
Bitcoin miners have been accused in Iran of frequent blackouts and electricity shortages. Iran has halted electricity supplies to neighbouring Afghanistan due to the severity of the crisis.
After a four-month hiatus due to complaints about high electricity use, Chinese investors reopened the country’s largest Bitcoin mining facility in April.
Illegal crypto mining operations, on the other hand, are said to be putting a burden on the power grid. As a result, when the moratorium ends in September, only authorized miners will be allowed to begin operations.
Iran’s trade ministry handed 30 crypto mining licenses in June, as the country’s officials continue to push for regulated cryptocurrency mining businesses.
In June, Tehran police allegedly seized over 7,000 rigs from illegal mining activities throughout the city.
In January 2020, Iran became the first country to legalize Bitcoin mining, with over 1,000 licenses issued. The government, on the other hand, appears to be eager to localize its crypto mining industry, with parliament proposing a bill that would prohibit the use of “foreign-mined” cryptocurrencies for payments in the country.
With a revenue prediction of $1 billion in May, the government expects Bitcoin and crypto mining to become a key economic activity in the country. The summer prohibition, on the other hand, may render the goal unachievable, at least until 2021.
With the country’s tax department recently advocating for a legal framework for crypto trading activities, Iran’s crypto acceptance policy could be expanded significantly.
