Iran Shuts Down More Illegal Crypto Farms, Bringing Total to Over 5,300

[Nathrixxx]

I think ceasing their operational coin mintin machines isn't the solution, but firstly I never knew Iran uses hydroelectric power supply for their electricity, moreover taking such drastic decision on minners is due to their non license approval which could details in paying a stipulated amount to be obtained including government taxes among others, such has aggravated such reaction as some minners dulge in other to bye cut such payments.

The term how the hydroelectric low power supply due to weather conditions this raining season and paying dues by unauthorized minners remain a controversial dialogue, if they would have made the regular authorization fees and payment as to be recognized by the government, power supply wouldn't have be an issue of threat in it shortage and weather couldn't have been a considering factor since other non crypto companies and industries consume much power supply even than the said mining.

I strongly go against such action as it depreciates the effort and capacity to what is been minner per day, it also discourages the upcoming minners who were on the start up phase, the country could have just put in place a regulatory policy suitable for each mining company or individuals on a yearly plan, a government-private MoU and so on.

Authorities in Iran are continuing their crackdown on unauthorized cryptocurrency mining as electricity demand remains high. The country’s power utility company has so far closed down more than 5,300 illegal mining facilities, seizing an enormous amount of coin-minting machines.

Power Utility Confiscates More Than 216,000 Mining Units From Unlicensed Miners in Iran
Preventing blackouts remains a priority in Iran where electricity consumption is still higher than usual. Cryptocurrency miners, the majority of which are operating without authorization, have been blamed for electricity shortages throughout the summer. The hot weather this year led to increased use of air conditioning while limited rainfall negatively affected hydropower generation.
https://news.bitcoin.com/iran-shuts-down-more-illegal-crypto-farms-bringing-total-to-over-5300/

[BuALI]

Isn't crypto currency a way Iran could circumvent international sanctions? It doesn't seem like a very good move on their part.

[DaveF]

I kind of wonder about those "216,000 Mining Units" vs  "5,300 illegal mining facilities"
That is on average 40 units per farm. But how many were 400 unit facilities and how many were 2 miners in someone's back room?
If I had a GPU rig with 8 cards did they count that as 1 unit or 8?
Were they new S19 or old S9?

Without a lot more information it's an interesting news story but not much else can be gathered from it.

Isn't crypto currency a way Iran could circumvent international sanctions? It doesn't seem like a very good move on their part.

It's also a way for people go get funds to get around the rules of an oppressive government.

-Dave

[TheMimic1]

Isn't crypto currency a way Iran could circumvent international sanctions? It doesn't seem like a very good move on their part.

Do you know what illegal means? Those miners are sucking free electricity through mining, this is like stealing from the government pocket which of cos they have every right to seize their rigs, I don't use grid for mining I only use solar panels and I'm proud of that decision

[philipma1957]

Isn't crypto currency a way Iran could circumvent international sanctions? It doesn't seem like a very good move on their part.

Do you know what illegal means? Those miners are sucking free electricity through mining, this is like stealing from the government pocket which of cos they have every right to seize their rigs, I don't use grid for mining I only use solar panels and I'm proud of that decision

you sir are correct.  All power thieves in Iran need their gear to be taken and destroyed . They could also have both pinkies severed so the public would know the theft they did  steal power for mining.

[stompix]

That is on average 40 units per farm. But how many were 400 unit facilities and how many were 2 miners in someone's back room?

I would think that the ratio would be 1 large farm and one thousand home miners. Once you go over 100 units (we're talking asics), I doubt you'll be able to hide that even while claiming your activity is something else, the 24/7 linear consumption is a clear giveaway.
And the same stands for small miners that think with 1-2 units they won't get detected mining at home, 1 s9 burns 900kwh a month the median in Iran is 300, they would be picking them up faster than finding Waldo.

But did you see this:?

While the licensing regime has allowed dozens of mining entities to operate legally in the Islamic Republic, the government has raised their electricity rates to match export prices. Since April, authorized miners are charged 16,574 rials ($0.39) per kilowatt-hour, four times the initial tariff. At the same time, illegal crypto farms use subsidized energy intended for households and other industrial sectors.

Who the hell would be mining legally there?

Isn't crypto currency a way Iran could circumvent international sanctions? It doesn't seem like a very good move on their part.

Again with this, Iran could be using anything to avoid sanctions, it's that companies don't want to deal with a country under sanction so Boeing won't sell them planes no matter what they use, rials, bitcoin, coal, or cow dung, at the same time some Chinese companies could accept anything dollars or rubles or rupiah or cow dung as they are not afraid of being cut from the western world since they don't deal with those in the first place.

[hugeblack]

We cannot verify the accuracy of the news that comes from Iran and is often accompanied by some inaccurate political analysis, but there is something you must understand.

 - Iran has alternative ways to avoid sanctions, so there is no reason to use Bitcoin, especially with the heat wave and the increased demand for energy.
 - Iran has a problem in providing sufficient energy resources and therefore there will be no large-scale mining (if it exists at all)

From here, I can conclude that the author of the article used the real news, which is the energy problem in Iran, with the most buzzing news in the energy world (energy-intensive bitcoin consumption) and we got the above news.


"I apologise to our dear people who have faced problems and suffering in the past few days and I urge them to co-operate [by cutting their electricity use]. People complain about power outages and they are right," Mr Rouhani said.

Source ---> https://twitter.com/hassanrouhani?lang=en

[flip4flop]

I wouldn't be surprised if these machines were not confiscated instead of being destroyed and will be used by the government. This would not be the first time Iran has cryptocurrency to circumvent sanctions and conduct other illicit activities. Very hard to prove publicly and with the control on the media seems like it would be very easy to pull off.