Bitcoin & increasing government pressure & power outages

[mr_ROBOTT]

As we talked about in the previous article about the problems of bitcoin miners in Iran(https://bitcointalk.org/index.php?topic=5338536.msg57043573#msg57043573), in the new news that I have received, the government has officially asked the people to stop bitcoin mining and turn off the machines and they will be dealt with legally.

https://s19.picofile.com/file/8434554918/1.mp4.html
Interestingly, they recommend that the digital currency market probably disappear and do not take risks or invest.(WTF )
Even legal miners should turn it off as soon as possible.
Strange opposition to the bitcoin world still continues.

[franky1]

an average iranian home is not capable of serving 3.25kw per household wall outlet

so when hobby miners start tinkering with their home electric circuits to run one or more s19's .. it puts a strain on that house and the streets circuit breakers

yes in industrialised area's connected to better electric capacitors its fine. industrial powerlines can cope

but what is being seen is residential neighbourhoods trying to abuse their electric suppliers capabilities within the neighbourhoods. causing neighbourhood blackouts of residential areas

[pooya87]

They are exaggerating the hell out of influence of miners on the electricity consumption increase and their role in power outages.
There has always been an increase in annual power consumption in Iran while the increase in power production hasn't been able to meet that increasing demand. If you check the statistics for every year for example 1399, 1398 and 1397 you can see the increase in consumption and not enough increase in production.
There are a couple of factors affecting it such as the population growth, decreased rain leading to decreased power production, old power plants that don't have the spare parts to upgrade or fix their plant due to sanctions, lack of fuel to use in plants,...
For example 1398 (2 years ago) electricity produced from water in dams was reduced by 7% and in 1399 (last year) it was reduced by 15.2%, they also predict the reduction will be even more this year due to decreased rain.
Part of it is mitigated by the nuclear power plants but if you check the dates the power outages started becoming worse ever since a month ago after the terrorist attack on the Iranian power plants that despite what they admit ceased its electricity production.

[Luffygroove]

Okay, probably about mining it's make sense, since it's not a secret that people can be greed and exploit the electric power. It would disadvantage other people who don't do mining. I can accept that. However, the government should learn further before take a harsh decision like closing up the digital currency market or giving out a policy like crypto ban. It has been proved that during pandemic, the crypto world has been very helpful in moving the economy wheels around the world. They should be thankful.

[davis196]

As we talked about in the previous article about the problems of bitcoin miners in Iran(https://bitcointalk.org/index.php?topic=5338536.msg57043573#msg57043573), in the new news that I have received, the government has officially asked the people to stop bitcoin mining and turn off the machines and they will be dealt with legally.

https://s19.picofile.com/file/8434554918/1.mp4.html
Interestingly, they recommend that the digital currency market probably disappear and do not take risks or invest.(WTF )
Even legal miners should turn it off as soon as possible.
Strange opposition to the bitcoin world still continues.

Iran was never a crypto friendly country.What else do you expect?
I remember that there were news about Iran creating their own cryptocurrency,in order to avoid US sanctions.
I don't know what happened with this project,but creating a centralized shitcoin doesn't mean that Iran is a cryptocurrency friendly country.I assume that there are deficits in electricity supply,but I'm familiar with the situation there.

[zanezane]

I can see where this is going but I don't think that mining is going to be the reason for the power outages, government just have to admit that they can't fuel the plants to generate enough electricity so they have to shift the blame so they can prevent a long-term power outage.

[SFR10]

Even legal miners should turn it off as soon as possible.

Then why give them licenses in the first place? I forgot, a significant amount of the so-called "illegal" miners might be their friends and family members ^{[those with major connections]}, so other legal miners should pay the price instead and turn off their mining rigs
^{- They just love making excuses to shift the blame to someone/something else; IIRC, they're still exporting electricity to some of the neighboring countries as well [SMH].}

[mr_ROBOTT]

They are exaggerating the hell out of influence of miners on the electricity consumption increase and their role in power outages.
There has always been an increase in annual power consumption in Iran while the increase in power production hasn't been able to meet that increasing demand. If you check the statistics for every year for example 1399, 1398 and 1397 you can see the increase in consumption and not enough increase in production.
There are a couple of factors affecting it such as the population growth, decreased rain leading to decreased power production, old power plants that don't have the spare parts to upgrade or fix their plant due to sanctions, lack of fuel to use in plants,...
For example 1398 (2 years ago) electricity produced from water in dams was reduced by 7% and in 1399 (last year) it was reduced by 15.2%, they also predict the reduction will be even more this year due to decreased rain.
Part of it is mitigated by the nuclear power plants but if you check the dates the power outages started becoming worse ever since a month ago after the terrorist attack on the Iranian power plants that despite what they admit ceased its electricity production.

In 1399, due to the many floods that came , the reduction of electricity through the dam again affected the electricity in the region.
I traveled to Manjil in 1397 (3 years ago) and all the wind turbines were working. But in my new trip to this city, many of the turbines were without caps and were defective and only a few of them were working.
Of course, this problem is also due to sanctions and the lack of new components. However, a country with this amount of energy and resources lacks electricity in the country?
(Today's situation in Iran is the same as it was 50 years ago in Europe)

Iran was never a crypto friendly country.What else do you expect?
I remember that there were news about Iran creating their own cryptocurrency,in order to avoid US sanctions.
I don't know what happened with this project,but creating a centralized shitcoin doesn't mean that Iran is a cryptocurrency friendly country.I assume that there are deficits in electricity supply,but I'm familiar with the situation there.

In one news, Iran announces the production of national digital currencies, but in the next news, it considers digital currency completely unusable and dangerous.
In the city of Kerman, sets up an mining farm and in the new news, he considers the purchase and sale of digital currencies a crime!
In Turkey, I am very happy with the government's support for bitcoin. I can sell my digital currencies without intermediaries whenever I want.
Due to the high cost of electricity, I do not mine bitcoins, but my family, who are in Iran and use cheap electricity, why should not mine?
Or why should they not exchange digital currencies legally? This is an injustice

[moderator's note: consecutive posts merged]

[xonar2]

Iran was never a crypto friendly country.What else do you expect?
I remember that there were news about Iran creating their own cryptocurrency,in order to avoid US sanctions.
I don't know what happened with this project,but creating a centralized shitcoin doesn't mean that Iran is a cryptocurrency friendly country.I assume that there are deficits in electricity supply,but I'm familiar with the situation there.

In one news, Iran announces the production of national digital currencies, but in the next news, it considers digital currency completely unusable and dangerous.
In the city of Kerman, sets up an mining farm and in the new news, he considers the purchase and sale of digital currencies a crime!
In Turkey, I am very happy with the government's support for bitcoin. I can sell my digital currencies without intermediaries whenever I want.
Due to the high cost of electricity, I do not mine bitcoins, but my family, who are in Iran and use cheap electricity, why should not mine?
Or why should they not exchange digital currencies legally? This is an injustice

The Iranian government circumvents US sanctions by mining Bitcoin. Up to 4,5% of all BTC are mined by gigantic mining farms in Iran.
Iran makes up to $1 billion a year from mining BTC.

https://www.rferl.org/a/iran-crypto-mining-sanctions/31267432.html

Very two faced of them to then block mining for ordinary citizens.

[Lucius]

Due to the high cost of electricity, I do not mine bitcoins, but my family, who are in Iran and use cheap electricity, why should not mine?
Or why should they not exchange digital currencies legally? This is an injustice

If someone has a chance to make life better, even if it may not be 100% legal in the country where you live (specifically crypto mining), I don't see why not try if it's the only way to improve our quality of life. Most people live in the belief that their governments wish them well, but ordinary people around the world feel that this is not the case - so it is even more illogical to ban ordinary people from doing something that the government itself does.

I've read and listened all my life to governments around the world saying "don't do it, don't live like that", and then in the end it turns out that it's just ordinary hypocrites doing the same things - Bitcoin is freedom that anyone can practice, no matter what politicians speak and advise.

[stompix]

The Iranian government circumvents US sanctions by mining Bitcoin. Up to 4,5% of all BTC are mined by gigantic mining farms in Iran.
Iran makes up to $1 billion a year from mining BTC.

The current reward is $35m, which means $10b a year and would lead to $450m a year and not 1 billion for 4.5%.
Second, it's not Iran that is making that money just as it's not China who makes billions in mining, it's companies that mine there who are making those earnings, and they have costs, and they have profits and they might pay squat in taxes while feeding on subsidized energy.

So unless you somehow have access to a document that shown how much miners have paid in taxes then the claim of Iran making billions from allowing miners is simply ridiculous. If Tesla sells 30k cars it doesn't mean the US had made a billion profit in car sales.

Part of it is mitigated by the nuclear power plants

Huh? They only have one reactor ready and running, can you share those statistics?

[semobo]

When government can't produce enough amount of electricity needed for the people they will start looking for reasons to put blame on them and that is how bitcoin miners are taking effect. Even if they ban the miner it won't make a huge impact on the total hash rates but even after they ban and the blackout remains then what they will do?

[ilovealtcoins]

Cutting electricity for Bitcoin mining plants is advisable in IRAN because the electricity consumption demand of these national operations is high in the summer. The government must prioritize electricity for things that are more important than Bitcoin mining.
Banning bitcoin mining plants is essential for the truth as even China is concerned about the lack of electric power. In summer, the water level of hydroelectric plants is low and not enough for the operation of power plants. In addition to exploiting electric energy, hydroelectric dams also have the use of irrigation dams.

[jossiel]

Truly strange.

They don't like people to thrive legally with mining bitcoin. What's with that? they should have their own resolution that if those miners have their renewable energy and other source of energy that can be use that won't be affecting the whole generation of energy for their country.

They should spare the miners and allow them to keep going on.

[nhaila]

Due to the high uses of fuel fossil, electricity and oil fuel energies China government already banned Bitcoin mining and all kinds of Bitcoin transaction. But I think it could be possible to control bitcoin transactions at all.

[dothebeats]

It depends on the carrying capacity of each household in terms of electricity. Mining hobbyist would certainly not have a power line that is fitted for mining operation, hence putting a strain on the equipment that delivers electricity, further causing issues. But the statement of the government against cryptocurrencies is no news, as this was the stance taken by some countries in the past, too.

[franky1]

when it comes to hydro and new cities..
countries make the dam and hydro first. and then make the new city around it.
while the new city is being built. the dam is producing hydro but has no city to consume it so they love cryptomining contracts. it pays for all that excess while the demand is low.

in a couple cases i found is that they can build cities quite quick.. 3-5 years to get first residents in. and so suddenly they need to pivot alot more power to the city. and within 10 years they will need to put more towrds the city. meaning tightening up on the allowance they give to mining.
many mining farms are already looking into this. and ensuring their farm is not pulling more power any any other warehouse/factory of any kind would thus not be treated unfairly in a few years. they do this by having multiple locations

however. i found its the home hobby miners that are getting slapped for mining. in many cases its 'stealing electric' by bypassing the meter/circuit break. or tapping into neighbours electric to dilute the metered consumption numbers per house to make it appear as 3 medium households rather than 1 max household

there are many news stories of residential miners getting busted by cops in different countries. but not really much news of mining farms getting stuff seized

[Argoo]

In this situation, miners simply should not rely on governments, but install their own power plants on solar panels with a minimum capacity of 3-5 kilowatts, or more, if necessary for the farm. Why ask governments for energy to mine cryptocurrency, if today you can even install similar power plants on the roofs of your houses without any problems? Perhaps the issue of energy consumption by miners should already be raised at the government level and solved using renewable energy sources. Then the problem will be solved once and for all.

[franky1]

In this situation, miners simply should not rely on governments, but install their own power plants on solar panels with a minimum capacity of 3-5 kilowatts, or more, if necessary for the farm. Why ask governments for energy to mine cryptocurrency, if today you can even install similar power plants on the roofs of your houses without any problems? Perhaps the issue of energy consumption by miners should already be raised at the government level and solved using renewable energy sources. Then the problem will be solved once and for all.

there are issues with this

1. to power a 3.25kw s19pro. requires you to have a 10kw solar array to have enough to power it and enough to have excess energy charging a battery once the sun dusks.

2. your solar costs are not paid piecemeal month by month. you buy the equipment upfront. with the hope to get ROI at some point

3. the upfront cost of solar only works out as break even compared to a dilution of spread out cost. if you calculate 10years plus of accumulated electric use

4. with hashrate /difficulty adjustments of 4% a fortnight. after 6months thats like getting half as much coin income as the start of the year. meaning to stay at same coin income level you then have to double up the hardware every 6 months. meaning its not using the same solar array on a 10 year ROI. .. but having to double your solar array meaning its costing you 10 years worth of equivalent electric cost upfront every 6 months

5. your only hope really is that asic production gets 50% more efficient so that you just upgrade 2 for 1 asic and not need to adjust the solar array expansion.
.. but thats not the case of whats happened over the last 2 years

[ARTURVHt]

In my opinion, Iran's ban on mining is justified. In Iran, their electricity cannot satisfy people's lives, there is no more electricity to support mining, and summer is coming and there is very little precipitation, so hydropower is not realistic, so it is understandable.