Iran Lends Plans to Engage in Bitcoin Mining To Avoid International Sanctions
The Iranian Center for Strategic Studies has released a detailed report highlighting the urgency for the state to venture into cryptocurrency. The exclusive report emphasizes the need for cryptocurrency adoption and setting up mining in the region to boost revenue generation. The strategy thinktank of the nation has advocated that the use of virtual currencies can help Iran bypass international sanctions and revive the economy.
According to the report, the adoption of decentralized assets is likely to provide a range of financial and economic advantages to different sections of the economy drastically. The crypto business might help the country pool nearly $2 Million per day and $700 Million per year as revenue income.
The report revealed that Iran would earn a decent amount of $22 million every year as transaction fees for supporting Bitcoin transactions. By allowing mining firms to operate in the region, Iran would not only generate a substantial amount of revenue for itself but also trigger new employment opportunities for the locals, stated the report. The mining process requires a heavy power supply, and nearly 9 workers can be employed for every megawatt of energy consumption. Mining hubs could employ technical workers, engineers, workers for repairing and security, etc.
The Center stated that the use of cryptocurrencies in day-to-day operations would help reduce the outflow of foreign currency from Iran. Instead, it could enable Iranians to purchase crypto against Rial. The crypto proliferation will help in boosting the export capacity of technical and engineering services along with improved foreign investment. The report mentioned that mining could help to increase the efficiency, consumption, and production capacity of the energy sector in the country. The construction of crypto mining farms will help to cover up the losses and trigger the conversion of gas into digital assets easily.
The government should follow a flexible regime to expand cryptocurrency business in Iran, stated the report. They could support ‘collective mining’ of virtual currencies or set up mining hubs close to local energy plants for good returns. The Office of Iranian President Hassan Rouhani is striving hard to circumvent US-fueled sanctions to support the crippling financial state, and cryptocurrencies might become a fruitful venture for the revival of the economy.