Iranian authorities have escalated a long-brewing crack down on the crypto industry. Reports have just emerged that over a thousand Bitcoin machines have been seized by police in the Central Asian. The crypto mining machines belonged to two separate factories.
The move was supposedly driven by a soaring electric consumption that Iranian authorities blamed on crypto traders In the month of June, electrical output spiked by nearly seven percent (7%), following which a representative from the government issued a statement warning crypto miners to curtail their power consumption.
According to analysts, cryptocurrencies and Bitcoin have been steadily gaining traction in the Iranian market, with more and more people flocking to the nascent industry for wealth generation. The process of digital currency mining requires having a network of interconnected CPU systems.
Computers would need to be digitally tailored to suit the requirements of the process, before being linked to the currency’s online ecosystem. Such mining machines have been sprouting up across Iranian cities since Bitcoin’s popularity soared.
“Everyone’s talking about Bitcoin and how to get it,” said Mahsa Alimardani, a researcher representing an Internet-based branch of Oxford, who had experienced her childhood in Iran.
With stringent American sanctions that have long subdued the Iranian economy, a boom in digital currencies and crypto related activities in the nation seems to be one of the side effects. Most Iranians, cut off from the international financial ecosystem, have been turning to cryptocurrencies as an alternative.