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The Iranian president is asking the government to plan a national strategy for cryptocurrency mining

May 22, 2020

The Iranian president has mandated officials from the central bank and ministries of energy, communications, and information technology to develop plans for a national cryptocurrency mining strategy.

As reported by the Iranian news website ArzDigital on May 22nd, The officials were informed during the 137th meeting of Iran’s economic coordination headquarters earlier this weekchaired by President Hassan Rouhani.

The development follows shortly after the Iranian government announced a changeover policy for the country’s fiat currency, the rial, to combat crippling chronic inflation.

The Iranian government is closely monitoring digital currencies

The Iranian president is asking the government to plan a national strategy for cryptocurrency mining
The Iranian president is asking the government to plan a national strategy for cryptocurrency mining

Earlier this week, Iran had also decided to include cryptocurrencies in its currency regulations and in its enforcement efforts against currency smuggling.

In this way, cryptocurrency exchanges approved by the Iranian central bank are subject to the applicable foreign exchange regulations.Amid a period of extreme capital outflows from emerging markets during the global pandemic.

This week too, The Iranian central bank and national exchanges agreed to cooperate in stabilizing the foreign exchange market, including a provision on the use of digital currencies if necessary to facilitate currency exchange and return export currencies.

The public health crisis, exacerbated by the continuation of the sanctions regime, has put a sick economy to the test, which had already shrunk by 9.5% in 2019 and faced a youth unemployment rate of 17.8%.

Iran’s strategic stance on cryptocurrencies

Although still Details of Iran’s national cryptocurrency mining strategy have not been clarified. This country has already granted over 1,000 licenses to crypto miners and gave the go-ahead to iMiner, a Turkish cryptocurrency mining company, to build a 6,000-rig facility in Semnan province earlier this month.

The Iranian government approved the mining of cryptocurrencies as an industrial activity in July 2019.

In the midst of a troubled economic climate A general of the Islamic Revolutionary Guard Corps spoke to a crowd earlier this year and asked the country to use cryptocurrencies To circumvent sanctions.

president Rouhani has spoken out in favor of creating an alternative, possibly digital currency to ease the impact of U.S. sanctions. They have been identified as “the main tools of dominant hegemony and intimidation” by certain nations.