Crypto Mining And Summer Season Forces Iran To Withdraw From Exporting Electricity.

Crypto Mining And Summer Season Forces Iran To Withdraw From Exporting Electricity.

Iran has in the recent past been struggling with electricity issues. This is as a result of increase in the quantity of energy expended in the country. The managing director of the country’s electricity company said in a broadcast that the country has withdrawn from exporting electricity to other countries. This move was to ensure that Iranians had enough energy to use. A province in Afghanistan dependent on Iran for about 70% of its electricity need has been disappointed as they are yet to receive supplies.

Data released by the electricity company revealed that the daily electricity need of the country rose to 65,000 megawatts against estimated daily production of 54,000 megawatts. Apart from the heat associated with the summer months, Bitcoin and altcoins mining operations account for the surge in the usage of energy in the country.

Crypto mining was legalized in the country in 2019 with a regulatory approach put in place through the issuance of licenses. However, the number of illegal mining farms has since then skyrocketed. Many of these clandestine miners use the electricity supplied to homes for their energy-demanding illicit activities.

In May, the Iranian president temporarily proscribed mining in an effort to ensure that citizens had adequate supply of electricity during the summer months. The president stated that 85% of the mining operations in the country was illegal. In a bid to address the electricity problem, the powers that be in Iran  stopped even lawfully recognized crypto miners from operating.

Iran however has continued to hunt down illicit miners. In the previous month, the government impounded over 7,000 rigs from a mining area in Tehran.


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