Some of the equipment confiscated from unauthorized crypto mining farms has been released by an Iranian government agency in charge of state property. Its chief executive claimed that the Islamic Republic's courts had ordered the organization to take such action because unlicensed miners there were to responsible for power shortages.
Some of the mining equipment confiscated in raids on subterranean crypto farms has begun to be returned to miners by Iran's Organization for Collection and Sale of State-Owned Property (OCSSOP). According to the English-language business newspaper Financial Tribune, it was mandated to do so by Iranian courts.
Quoted by the country’s Ministry of Economic Affairs and Finance, the head of the organization, Abdolmajid Eshtehadi, detailed:
Currently, some 150,000 [units of] crypto mining equipment are held by the OCSSOP, a large part of which will be released following judicial rulings. Machines have already been returned.
The official went on to say that Tavanir, Iran's power generation, transmission, and distribution company, should present ideas for employing the mining equipment without endangering the national grid.
Iran allowed cryptocurrency mining in July 2019, but has since stopped permitted coin minting activities many times, claiming power constraints during the peak summer and winter electricity usage seasons. Additionally, it has been harshly prosecuting Iranians who mine illegally.
The Ministry of Industries, Mining and Trade issues licenses and import permits to businesses who wish to mine legitimately. The Iranian Standard Organization must authorize the equipment, and miners must pay export prices for power.
Iran forbids the mining of cryptocurrencies using power or natural gas intended for other uses and customers. However, as a result of evading the license that would have required them to pay the considerably higher prices, the number of underground mining installations using the less expensive, subsidized energy has been increasing.
The state-run Tavanir has been severing the power supply to any discovered unlawful mining operations over the past couple of years, seizing their machinery, and fining its operators for harm done to the national distribution network.
The utility has discovered and shut down 7,200 illegal crypto mining facilities since 2020. It promised in July 2022 to take harsh action against illegal cryptocurrency miners who, by some estimations, had used $36.5 million worth of subsidised power.
Despite a prohibition on such actions by the prosecutor general's office until the Iranian parliament passes laws addressing the problem with unlawful mining, the mining rigs have been released. Tehran's government authorized a complete set of crypto legislation in August, and in September it began issuing licenses to mining firms in accordance with the new legal framework.
