Iranian Central Bank, ‘Overseas Mining Cryptocurrency’ Trading ban movement

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[Blockchain Today Reporter Jang Seo-yeon] According to an Iranian international tweet, the Iranian central bank on the 5th (local time) banned the transaction of bitcoins and digital assets mined abroad.

With voices pointing out that such enforcement is almost impossible, Blockchain lawyer and advisor Fatmeh Fannizadeh said, “This ban may aim to pay for income using banks and cryptocurrencies. “He said.

At the end of April, Iran’s central bank approved a rule that allows financial institutions such as banks to pay for income in cryptocurrency. Under this framework, institutions can purchase and use cryptocurrency at licensed mining sites. The new regulation appears to be to ensure that only cryptocurrencies from approved mining sites are used for import.

Since 2019, regulators have issued more than 1,000 cryptocurrency mining facility permits, including 6,000 mining sites operated in Turkey.

The new legislation could be part of a larger sanctions strategy for years to come. Iranian research institute Majlis Research Center has been encouraging the use of cryptocurrencies to circumvent severe economic sanctions until 2018. In a report by the agency, “According to experts, one way to avoid the side effects of unfair sanctions is to use cryptocurrency for foreign currency,” and said that digital assets could be used for international trade.

Despite these new efforts to create a sanctioned crypto-income payment pipeline, Iran’s relationship with digital assets has been deteriorating over the past few months. In January, officials accused illegal cryptocurrency mining facilities of causing widespread blackouts, but experts pointed out that the long-neglected infrastructure was the cause.

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