Iran Government Closes Down Illegal Crypto Mining Farms

Iran Government Closes Down Illegal Crypto Mining Farms

Iran Government takes notice of illegal crypto mining farms and immediately closes them down. About 1,620 illegal farms were ceased in different parts of the country. However, the mining industry complains of exorbitant electricity charges.

 Back in July 2019, the Iranian Government had duly integrated the crypto industry into the mainstream. Similarly, the mining industry was also recognized and duly supported by the Iranian Government.

However, when Bitcoin was riding the bull-run in 2020, there were illegal mining farms emerging everywhere in the country. It was also noticed by the Government that there were many illegal mining farms consuming 250 MW of electricity. In order to stop illegal farming, the Government recently initiated an action against them. Resultantly, 1620 illegal farms were shut down by the Iranian Authorities.

Meanwhile, the head of Iran’s powerhouse, MostafaRajabiMashhadi, told in a tv interview that he would deal with illegal miners strictly. He informed that he was in the knowledge that there were illegal miners who had been using subsidized electricity. He informed them that all of them will be treated in accordance with law and that fines would be imposed as well. He also said publicly that the violators will be tried in court and their electricity connections will be disbanded from the national grid.

It was further reported that most of the mining farms complained that electricity charges were exorbitant. They urged the government to bring them down in order for them to boost their productivity. Due to these high rates, many farms chose to conceal their businesses illegally. This is why immediate action was taken against those who were illegally conducting crypto mining. For the time being, there are only 24 crypto mining farms that had been conducting their usual business.

In the meanwhile, closure of mining farms culminated in the filing of several lawsuits by crypto miners against the state. The Courts in Iran had been overrun by crypto miners and the Judges had been forced to conduct day to day hearings.

Mashhadi also revealed that the closure operation was successful because he was helped by the legitimate crypto mining industry. It was further reported that those who helped the state machinery in catching the culprits, were given incentives.

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