Iran Starts Offering Bounties for Exposing Illegal Crypto Mining Operations

The Iranian government has started offering bounties to those who expose illegal cryptocurrency mining operations, after announcing new regulations for the industry.

According to local news agency IRIB News Mostafa Rajabi, a spokesperson of Irans Energy Ministry, said that those who expose illegal cryptocurrency mining operations using subsidized electricity will be rewarded with up to 20% of the recovery of the damage caused to rans power grid.

Rajabi reportedly added details about the countrys new regulations for cryptocurrency miners, saying miners wont be able to mine during peak consumption hours in Iran – which are said to be around 300 hours per year.

The average price miners are going to pay for electricity is going to be of 9,650 rials ($0.08) for each kilowatt-hour (kWh). The average is calculated as the price per kWh will be of around $0.04 during the eight coldest months in Iran, and of $0.16 during the warmest months, as electricity consumption increases.

The new regulations will also see the Iranian government incentivize cryptocurrency miners to set up their own cryptocurrency mining facilities. Rajabi added the government could back up these facilities if they use renewable energy sources. Its worth pointing out the government legalized cryptocurrency mining earlier this year.

These regulations come shortly after reports of the Iranian government cracking down on cryptocurrency miner surfaced earlier this year. Illegal mining operations taking advantage of subsidized energy pressure Irans national grid, and in response authorities seized 1,000 bitcoin mining machines from two factories.

Featured image via Pixabay.

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Tags: Iran, Cryptocurrency, Miner, Mining, bounty, Government of Islamic Republic of Iran, energy ministry