Posted 2 years ago | by @devadmin
The next wave of adoption we thought was retail and institutions. However, Iran has now made a new regulation regarding cryptocurrencies requiring licensed Bitcoin miners to sell their coins directly to the central bank for use to fund imports.
Bitcoin.com reports, that Iran’s cryptocurrency regulation to enable the country’s central bank to fund imports with Bitcoin legally mined in the country, was proposed over the weekend.
Iranian publication Financial Tribune communicated:
:The measure proposed by the Central Bank of Iran [CBI] and the Ministry of Energy requires licensed cryptominers to sell the coins they mine directly to the CBI.”
“The Ministry of Energy is tasked with defining a ceiling for output of authorized crypto units subject to the energy consumed by each unit. Miners’ output should not exceed the ceiling,” the publication added, noting that the central bank will soon announce details of the new law.
Mostafa Rajabi Mashhadi, deputy head of Iran’s Power Generation, Distribution, and Transmission Company (Tavanir) and the spokesperson for the power industry, confirmed that “These cryptocurrencies can be exchanged according to the regulations set by the central bank,” Mehr news agency quoted him as saying.
The NASDAQ further reports:
“Iran Daily reported earlier this week the country’s cabinet has amended recent legislation on digital assets to allow cryptocurrency to be used for import funding by the Central Bank of Iran (CBI).
The amendment had been jointly proposed by the CBI and the cabinet previously.
The change means legally mined cryptocurrency in Iran can only be exchanged if used to fund imports from other nations.
Miners will supply the cryptocurrency directly to the CBI within an authorized limit, per IRNA’s report.”
Iran legalized mining last year, however the industry is heavily regulated by the government. Bitcoin.com additionally reports that Power plants in Iran are allowed to mine cryptocurrencies and bitcoin miners have been granted exclusive access to electricity generated from three of them.
By switching its imports to Bitcoin, Iran could get around sanctions placed against the country by the U.S. government and other countries for trade. Will other countries sanctioned by the U.S. follow suit? This could be extremely bearish for Bitcoin. Let us know your thoughts in the comments below!
Bitcoin is currently trading at [FIAT: $13,545.17] UP +2.8% in the last 24 hours according to Coingecko at the time of this report.