Deputy Governor Of Iran’s Central Bank Emphasises That Crypto Is Illegal In The County

It is known to those who keep a track of the crypto world, that buying and selling or any kind of transaction of cryptocurrencies like bitcoin (BTC) is illegal in Iran. As per a report by local news agency Tasnim News, a senior government official also declared the same on July 8.

The deputy governor for new technologies at the Central Bank of Iran (CBI), Nasser Hakimi, said that bitcoin trading is not legal in the country. He cited a related prohibition by a local anti-money laundering (AML) authority, the Supreme Council of Combating and Preventing Money laundering and Financing of Terrorism Crimes.

In an interview with Tasnim News, Hakimi issued a warning to the public against legal and investment risks which are associated with cryptocurrency trading, He noted the high level of bitcoin’s volatility and also expressed concerns about crypto advertisements, bringing awareness of promoted bitcoin pyramid schemes in public.

The official also reportedly brought up the issue of the need to distinguish between the production of cryptocurrencies and its trading.

It was in late June that Iranian authorities announced their plans of cutting power to cryptocurrency mining until new energy prices are adopted when a local energy official reported an unnatural spike of electricity consumption apparently caused by increased mining of crypto. As such, local prosecutors seized close to 1,000 bitcoin miners from two now-defunct farms in late June, BBC reported.

On 6th July, the Iranian Assistant Minister of Industry, Trade, and Supply said that the United States Congress is allegedly working to prevent Iran’s access to crypto and bitcoin mining in an effort to prevent the country from using a tool for evading sanctions. As was reported earlier, bitcoin investment among Iranians has become increasingly popular owing to the massive inflation of the Iranian rial (IRR) the local fiat currency, that is prevailing in the country amid the nuclear crisis deal.

Rishma Banerjee

Rishma is currently pursuing a bachelor’s degree in International Relations and has a special place in her life for sifting through all sorts of random trivia, thank you very much.