Al-Fars, a local news outlet in Iran, reported on July 6 that the US Congress is in the process of blocking Iran’s access to Bitcoin and other cryptocurrency mining. The statement came from the Assistant Minister of Industry, Trade, and Supply, Saeed Zarandi.
As per the report, Zarandi says that the US Congress treats cryptocurrency as a tool for avoiding money laundering and sanctions and that works are being carried out to block the access of Iran to it. However, according to the Assistant Minister, this action further complicated the country’s legislation over crypto.
Zarandi admitted that there are cryptocurrency-related issues that still need to be settled in Iran. However, he also said that Iranian ministries are already collaborating with the nation’s Central Bank to come up with firm legislation regarding the usage and operations of cryptocurrencies in Iran.
Cointelegraph reported in December 2018 that bills targeting to ban Iran’s unlawful financing had been introduced by the House as well as the Senate. These bills include the usage of crypto; however, until now, nothing had been passed.
As a response, the Central Bank of Iran announced at its plans of having a national cryptocurrency. At a conference held on Tehran in January, Paymon, the new currency, was introduced. However, even if it’s hypothetically similar to Petro which is Venezuela’s national currency, Paymon doesn’t seem to pick up significant traction.
Based on the recent reports, the government of Iran is still undecided on its legislation relating to crypto mining. In June, news report highlighted the act of Iranian authorities towards Bitcoin. Over 1000 machines being used for crypto mining had been confiscated. This act was associated with the Ministry of Energy’s recent announcement about its plan of cutting off the power supply to suspicious mining operations that are taking advantage of Iran’s subsidized electricity.