Cryptocurrency and digital asset miners in Iran might face elevated electricity bills if Iran’s Energy Minister gets things done as per his opinion on miners.
The development is first reported by The Financial Tribune, which quoted minister Homayoun Haeri as mentioning that energy used by digital asset and cryptocurrency miners in Iran should be charged at authentic prices and not be subsidized by the administration.
Notably, the government of Iran spends about $1 billion in electricity subsidies in the nation with Iranian households paying just a small part of the genuine cost of the electricity usage.
Authorities in Iran proscribe the mining and trading of digital assets and cryptocurrencies. Nonetheless, such actions carry on proliferating given the comparatively near to the ground electricity costs in the nation.
It is to be noted that various sanctions imposed by the United States on Iran have even encouraged more people in Iran to mine and trade digital assets as a substitute to fiat currency.
Furthermore, blockchain researcher Nima Dehqan at Tehran-based cryptocurrency startup Areatak mentioned in an earlier report by CoinDesk that several foreign investors from Armenia, Spain, Ukraine, and France have visited their digital asset farms in Iran. Dehqan mentioned his firm has before now got into an agreement with an investor from Spain to in order to establish a mining farm in Iran.
The blockchain researcher mentioned that foreign digital asset investors are enthusiastic about farming in Iran because of the cheap electricity in the country which costs below $0.01 per KWH. Further adding to Iran’s appeal to digital asset miners is the latest plunge of the Iranian rial’s value due to sanctions imposed by the United States, as per the blockchain researcher.