According to a new report from Tehran Times, the Iranian government is ready to crack down on the illicit crypto mining operations that are currently taking place in the country.
Iran wants to introduce new regulations
Authorities plan to introduce new regulations “to increase penalties for illegal cryptocurrency mining using subsidized electricity” Tehran time. The new regulations that are planned increase the current fine by a minimum of three and a maximum of five times. In addition, the Iranian authorities are also planning to revoke the licenses of offenders and put them behind bars.
“Any use of subsidized electricity, intended for households, industrial, agricultural and commercial subscribers, for cryptocurrency mining is prohibited,” the report reveals.
This comes just months after the Iranian government has decided to lift the ban on cryptocurrency mining. The nation’s government under former President Hassan Rouhani had decided to ban crypto mining activities in May 2021. However, following the lifting of the ban, the nation has seen an increase in mining activities which has trained power cuts in the country.
The Global Cryptocurrency Mining Landscape
According to previous Kripteu Magazine coverage, crypto mining has recently been a controversial topic. Lawyer and economist María Muñoz, also a deputy of the Spanish political party Ciudadanos, has proposed a bill to make Spain, a Bitcoin mining hub. On the other hand, the European Union has decided to put a general ban on exploitation of proof of work (PoW) cryptocurrencies like Bitcoin which has not kept pace.
Not only in Iran, but crypto miners have recently come under increased pressure from regulators, mainly due to their energy needs. According to a previous report by Kripteu Magazine, Tenaga Nasional Bhd, a Malaysian power company, noted an increase in illegal cryptocurrency mining since 2018 in the country and made two proposals to curb the practice.