Iran authorizes cryptocurrencies to pay for imports

The Central Bank of Iran (CBI) has authorized banks and currency exchangers to use cryptocurrencies mined by licensed miners in the country to pay for imports.

At the same time, a bill is being drafted in the economically sanctioned nation to provide regulatory clarity regarding crypto related activities. This new bill will lay out a mechanism to be followed in the country.

It will also define the obligations of administrative bodies, namely the Central Bank of Iran and the ICT, industries, energy, and economic ministries.

Meanwhile, the central bank has given the green for licensed entities to pay for imports. This has been revealed in a report published by the Financial Tribune on Saturday, banks and currency exchangers that are registered with the government are now in on the action.

As explained:

“The central bank says that lenders and licensed currency exchange offices have been notified about the regulatory framework for crypto payment.”

The Iranian government amended its cryptocurrency regulation in October last year to enable the country’s central bank to fund imports with Bitcoin legally mined in the country. Licensed crypto miners are required to sell their coins directly to the central bank.

This was a measure proposed by the CBI and the Ministry of Energy.

Iran has issued over 1,000 licenses to crypto miners, including one to Imaner, the Turkish Bitcoin mining giant. Power plants in the country are allowed to mine cryptocurrencies, and Bitcoin miners have been granted exclusive access to electricity generated from three of them.

At the same time, Iran shut down 1,620 illegal crypto mining farms in January.