Iran’s new regulations have been enacted to raise penalties for cryptocurrency mining. They include additional prison sentences and fines. “Any use of subsidized electricity intended for households, industrial, agricultural, and commercial subscribers for mining cryptocurrency is prohibited.”
Iran has new penalties for illicit cryptocurrency mining
An official with Iran’s Power Generation, Distribution, and Transmission Company (Tavanir) said the country’s administration will approve new rules to increase penalties for unauthorized cryptocurrency mining, IRNA publication reported Sunday.
Mohammad Khodadadi Bohlouli explained the following:
The increased penalties include raising fines by at least three and at most five times, imprisoning the offender, and revoking the offender’s business license.
“Any use of subsidized electricity intended for households, industrial, agricultural, and commercial subscribers for mining cryptocurrency is prohibited,” Khodadadi said.
In 2019, the Iranian government authorized cryptocurrency mining to be an industry. The Ministry of Industry, Mine and Trade granted over 1000 licenses to cryptocurrency mining operations in January 2020.
However, Iranian authorities said that some unauthorized miners are using household electricity for cryptocurrency mining, resulting in major issues for the country’s electricity industry. To prevent blackouts in winter, cryptocurrency miners were told to stop operations last December. The authorities confiscated nearly 220,000 crypto mining machines in September and shut down close to 6,000 illegal mining farms throughout the country.
Are you concerned about Iran increasing sanctions for illegal cryptocurrency mining activities? Comment below to let us know your thoughts.
Image creditShutterstock. Pixabay. Wiki Commons
DisclaimerThis article serves informational purposes. This is not an invitation to purchase or sell directly, nor a suggestion or endorsement of products, services or companies. Bitcoin.com doesn’t offer investment, tax or legal advice. This article does not contain any information, products, or advice that can be used to cause or alleged result in any kind of damage.