Iran And Its Bitcoin Trading Problem

Recent reports show that cryptocurrency miners have increased Iran’s energy consumption by around seven percent. Even so, the government in Iran has been very understanding of the miners. The country has ratified a bill that has officially acknowledged cryptocurrency mining but nonetheless, the Iranian government hasn’t been as friendly towards cryptocurrency mining.

This bill has failed to put cryptocurrency trading on the same pedestal as crypto mining. According to the bill, the government doesn’t recognise virtual currency trading completed under its borders as lawful.

Global Coin Research tweeted in regards to the issue and said:

“Iranian government claims that it will not recognize as lawful any trade activity carried out inside Iran involving cryptocurrencies. It will also not view the digital coin as legal tender, and the Central Bank of Iran would not guarantee their value.”

This stance on crypto trading is harsh, to say the least, but it might not do as much in ruining the mood of the growing Iranian interest in virtual assets. Citizens of the country are looking towards digital coins to allow them to access global currencies. The nation is currently stifled by unending US sanctions targeting the Islamic Republic’s already ailing economy.

Citizens of Iran can bypass the Trump administration sanctions over its nuclear deal with other global players, thanks to cryptocurrencies. As reported by Ethereum World News, “the Bitcoin craze has been the subject of many Iranian newspapers headlines, even discussed by the nation’s top ayatollahs. There also have been police raids on mining farms set up to make a profit from the digital currency.”

Several government officials have denounced the energy-consuming process of cryptocurrency mining while multiple miners have also been abusing the nation’s system of subsided electricity. Even so, the threat of raids and conflicting statements from authorities have driven crypto mining out with miners being paranoid about identification.

PriceAt the time of writing, Bitcoin is priced at $9,914 following a 6.17 percent decrease over the past 24 hours.