Iran raises alarm over possible influx of miners from China

With the government in Beijing halting its activities, Chinese miners are looking for other jurisdictions. Iran, which provides cheap energy, has become a potential direction. However, the state land power company has expressed concern about the possible influx of miners and illegal imports of equipment for mining from China.

Tawanir warns of flooding of Chinese miners and equipment in Iran
Iran-based electricity generation, distribution and Transmission Company “Tawanir” has issued a warning about the entry of Chinese cryptocurrency miners into Iran amid China’s ongoing pressures on the industry. The company also shared its concerns in a letter to the central task force on trafficking in goods and currency.

In a letter published by the economic news site Egtesadnews, CEO Tawanir Mohammad Hussein Motevallizade refers to media reports about the closure of facilities in China. The government’s attack on the industry could push Chinese miners into other countries, the executive warned, according to a report quoted by the English-language business daily Financial Times.

Motevallizade called for strict controls to prevent a large flow of mining companies and coin-printing equipment from the people’s Republic of Iran:

Lower energy costs make Iran attractive to Chinese miners. They are likely to be smuggled into the country to import mining equipment.

Cryptocurrencies are enjoying increasing popularity in Iran, with many Iranians investing in them amid price increases last year. Cheap subsidized electricity has also become a catalyst for crypto mining, and the Islamic Republic recognized it as a legitimate industrial activity in the summer of 2019. Iran’s importance as a mining destination has increased and, according to a study from Cambridge University, accounts for more than 4.6% of the world’s heshreytine.

According to the Financial Tribune,

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