Iran’s economic commission has approved cryptocurrency mining as an official industry within its borders.

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“A mechanism to mine digital coins was approved by the government’s economic commission and will later be put to discussion at a cabinet meeting,” said Central Bank of Iran (CBI) Governor Abdolnaser Hemmati on Sunday.

Also, Deputy Minister of Energy for electricity and energy Homayun Haeri said a plan to apply the exported electricity rate for mining farms will soon be discussed and voted on by the government ministers.

Iran has been clamping down on digital coin mining farms in recent months as many people have rushed to mine coins due to very cheap Iranian electricity.

Earlier this month, Iran announced they will be releasing a gold-backed cryptocurrency, which will be mined under the permission of the country’s central bank, local news outlet Mehr reported citing Shahab Javanmardi, CEO of FANAP, an Iranian information and communications technology (ICT) firm.

As Shahab Javanmardi said, the Iranian cryptocurrency is mined in accordance with the agreement of the CBI and by a consortium of Iranian private IT firms.

“THE IRANIAN CRYPTOCURRENCY IS BACKED BY GOLD BUT ITS FUNCTION IS SIMILAR TO FOREIGN RIVALS,” SAID JAVANMARDI.

“THE DOMESTICALLY ENCRYPTED MONEY IS TO EASE OPTIMAL USE OF IRANIAN BANKS’ FROZEN RESOURCES.”

Underlining lack of required regulations in cryptocurrency sector in Iran, the private sector official urged the government for regularization of bitcoin mining business in the country.

The announcement came just few days after a CBI official announced that all cryptocurrency-related activities are forbidden in Iran.

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