NEW!Incredible offer for our exclusive subscribers! Read More

Iran Central Bank Bans Trading of Foreign-mined Bitcoin

1 Mins read

The Central Bank of Iran (CBI) has prohibited the trading of Bitcoin and other cryptocurrencies mined outside the country, according to a report from news outlet Iran International .


At first glance, the move is a formality, as Iran had already effectively banned open trading of cryptocurrency. However, it may signal the intent of Iranian regulators to counter the removal of capital from the country.

Bitcoin Miners in Iran Have a New Buyer: the Central Bank According to a report from the state-run Iranian Students’ News Agency (ISNA), Iran has established new regulations to funnel Bitcoin mined by Iranians into state coffers so it can use them to… News Technology Jeff Benson Oct 30, 2020Dec 8, 2020

Oil and natural gas deposits make Bitcoin mining in energy-abundant Iran relatively cheap and lucrative. Since legalizing cryptocurrency mining (but not trading) in 2019, Iran has looked to regulate the industry to its advantage.

Last October, as Iran looked to avert crippling US sanctions initiated during the Trump administration, the Central Bank mandated that registered Bitcion miners within Iran sell the mined tokens to CBI. The move gave the country an alternative way of paying for imports that bypassed foreign currency restrictions.

This week’s prohibition comes with some obvious logistical hurdles, such as how exactly one ensures “foreign” BTC stays out of Iran.

Attorney Fatemah Fannizadeh suggested enforceability among individual holders may not be the goal.

“I don’t think it will be enforced on an individual level,” she tweeted. “Exchange platforms can basically not operate. But instead of a blanket ban, it allows banks and forex offices to use Iranian crypto for international transfers.”

That last part is key, as Iran is one of the few countries locked out of SWIFT, an international network for transferring money. The others are Cuba, North Korea, Syria, Sudan, and the Crimea region in Ukraine.

“This just means that Iran wants to export Iranian produced coins more aggressively, encourage mining, and counter capital flight in the face of a depreciating Rial,” Fannizadeh wrote.

The rial lost 80% of its value against the dollar between January 2017 and January 2021. During that same span, Bitcoin’s value increased over 3,800%.

Related posts
AltcoinsBTCCryptoOther – business license for the use of crypto

1 Mins read
Firstly business license for the use of cryptocurrencies with a long list of conditions. It was release in New York 2020 The…

Bitcentr launched the largest aid campaign!

1 Mins read
Ukraine is at war, war for our freedom but also for European freedom and democracy. People of Ukraine are in a big…

Beecrypt with Bitfinex will start a trading giveaway for Telegram users

1 Mins read
In this paragraph, Bitfinex with Friends of are starting with Top crypto giveaway. After that From 0.001 tо 0.25 bitcоin and…
Power your team with InHype

Add some text to explain benefits of subscripton on your services.

Leave a Reply

Your email address will not be published. Required fields are marked *