Iran is one of the few countries in the world where cryptocurrency mining is legal-but only if you follow a maze of shifting rules, pay sky-high electricity rates, and avoid getting caught in the crosshairs of state-backed operations. It’s not the wild west anymore. It’s more like a minefield with a government badge.
Legal Mining? Yes, But Only With a License
As of 2025, you can legally mine Bitcoin or other cryptocurrencies in Iran-but only if you get a license from the Central Bank of Iran (CBI). That’s not optional. Since January 2025, every miner, whether an individual with a rig in their garage or a company running a warehouse full of ASICs, must register with the CBI. You can’t just plug in and start hashing. The government now demands full transparency: all transactions must go through approved rial accounts, and every piece of hardware you use must be on an official list. The Ministry of Industry, Mine and Trade also has a say. You need their approval too. And you can’t just pick any power source. The state has set electricity tariffs for mining that are higher than for any other industrial user. Why? Because they want to make sure you’re paying for the power you steal from the grid. Or at least, that’s the theory.Electricity: The Real Bottleneck
Iran has some of the cheapest electricity in the world-around $0.004 per kWh for industrial users. That’s why, back in 2021, Iran was responsible for nearly 5% of the entire Bitcoin network’s hash rate. But cheap power doesn’t mean reliable power. The grid is crumbling. And when the lights go out, the government blames miners. In the summer of 2024, nationwide blackouts hit hard. For four months, the government shut down all mining operations. They said it was because illegal miners were siphoning off 2,000 megawatts of electricity-enough to power a small country. Tavanir, Iran’s state power company, confirmed it. And they weren’t wrong. But here’s the twist: the biggest power thieves weren’t random guys with rigs. They were state-linked entities, including the Islamic Revolutionary Guard Corps (IRGC). One IRGC-backed mining farm in Rafsanjan, Kerman province, alone was using 175 megawatts-without paying a cent. So now, legal miners pay premium rates. But those connected to the regime? They still get subsidized power through mosques, religious foundations, and military-run facilities. That’s the real problem. The system isn’t broken. It’s rigged.How the Rules Keep Changing
The regulations don’t stay still. They shift like sand. In December 2024, the CBI blocked all crypto-to-rial transactions through online exchanges. For 23 days, about a million Iranians couldn’t buy Bitcoin to pay for groceries, medicine, or even fuel. People took to forums like Nama Blockchain to describe how they were stuck without access to their own money. Then, in January 2025, the government unblocked payments-but only through government-approved APIs. That means every transaction is tracked. Every wallet is monitored. Every withdrawal is logged. The CBI now has unrestricted access to all crypto data in Iran. It’s not about security. It’s about control. By February 2025, they banned all cryptocurrency advertising-online or in person. No more billboards. No more Instagram ads. No more YouTube influencers pushing mining rigs. Trustpilot reviews for Iranian crypto platforms dropped from 4.1 stars to 2.4 in just two months. Users were furious. They didn’t mind regulation. They minded being cut off from their own finances.
Who’s Really Running the Show?
There are two Irans when it comes to crypto mining. One is the official one: licensed miners, government forms, electricity bills, and compliance officers. The other is the real one: IRGC-run farms, mosque-based operations, and hidden rigs in military zones. According to NCR-Iran’s 2025 report, state-affiliated entities control about 65% of Iran’s total mining capacity. That means most of the hash power isn’t coming from private businesses trying to follow the rules. It’s coming from the same people who make the rules. Foreign investors are invited to join. The government says it’s open to international capital. But here’s the catch: you can’t operate without local partners. And those partners? They’re often tied to the IRGC. If you try to audit their operations or ask for financial records, you get blocked. Or worse.Why It’s Getting Harder to Mine Legally
The energy crisis isn’t going away. If summer 2025 brings another heatwave and power shortage, expect another ban. The government has no long-term plan to upgrade the grid. Instead, they’re doubling down on control. Miners now need to monitor three government agencies daily: the Central Bank, the Ministry of Industry, and Tavanir. One change in policy can shut you down overnight. Many small operators have quit. Others moved to special economic zones with dedicated power lines-but those zones are mostly occupied by state-backed miners. Even the hardware you use is restricted. You can’t just buy any ASIC miner off Amazon. The government has an approved list. If your device isn’t on it, you can’t license it. And good luck getting one shipped into Iran with U.S. sanctions in place.
What’s Next? A State-Controlled Digital Rial
Iran isn’t trying to build a crypto economy. It’s trying to replace it. The Central Bank is rolling out its own digital currency: the “Rial Currency.” It’s not Bitcoin. It’s not Ethereum. It’s not even decentralized. It’s just electronic rials, controlled entirely by the government. No mining. No blockchain. No anonymity. Just a digital version of the same currency that’s losing value every day. Experts like AGSI say this wasn’t about bypassing sanctions. It was always about control. The original idea in 2018-that crypto could help Iran trade with the world despite U.S. sanctions-has been quietly dropped. Now, the goal is to track every transaction, stop capital flight, and replace any form of independent money with a state-run alternative.Can You Still Make Money Mining in Iran?
Technically, yes. But the risk-reward ratio is terrible. If you’re a small operator with a few rigs, you’re stuck between paying inflated electricity bills and the constant threat of a shutdown. If you’re connected to the regime, you’re probably already making money-off the books. For everyone else? It’s a gamble. The market has shrunk. In 2020, Iranians traded $20 million in crypto daily. By mid-2025, inflows had dropped 11%. P2P trading on LocalBitcoins jumped 78% after the payment blockades, but that’s not mining. That’s survival. The only real winners are the ones who never had to follow the rules.What This Means for You
If you’re thinking about mining crypto in Iran:- Don’t assume legality means safety. The rules change weekly.
- Don’t trust the official licensing system. It’s designed to filter out small players, not protect them.
- Don’t invest without a local partner who’s already in the system-and even then, expect to lose control.
- Don’t expect to cash out easily. The government controls every exit point.
Is crypto mining legal in Iran in 2025?
Yes, but only if you have a license from the Central Bank of Iran and the Ministry of Industry, Mine and Trade. All operations must use government-approved hardware, pay premium electricity rates, and conduct transactions through state-monitored accounts. Unlicensed mining is illegal and subject to shutdown.
Why does Iran allow crypto mining if it causes power shortages?
Iran allows licensed mining because it generates foreign currency and tax revenue. However, the government blames unauthorized mining for blackouts-even though state-linked entities, like the IRGC, are responsible for the largest power draws. The system is designed to control, not enable. Legal mining is a way to monitor and tax activity, while illegal mining by powerful groups goes unchecked.
Can foreigners mine crypto in Iran?
Foreigners can technically invest in licensed mining operations, but they must partner with a local entity. Most of these partners are tied to the IRGC or state-affiliated organizations. Foreigners have no legal recourse if their assets are seized or operations are shut down. The environment is high-risk and lacks transparency.
What happened to crypto payments in Iran in late 2024?
In December 2024, the Central Bank blocked all online crypto-to-rial exchanges, cutting off access for about one million Iranians for 23 days. People couldn’t buy Bitcoin to pay for essentials. In January 2025, limited access was restored-but only through government-controlled APIs that track every transaction. This was a move to centralize control, not improve access.
Is Iran’s digital currency the same as Bitcoin?
No. Iran’s digital Rial is a centralized, government-controlled electronic currency with no mining, no decentralization, and no blockchain. It’s designed to replace decentralized cryptocurrencies entirely. Unlike Bitcoin, it can’t be bought, sold, or transferred outside the state’s system. It’s a tool for surveillance, not financial freedom.
Why are mining operations in mosques a problem?
Mosques and religious institutions receive free government electricity. Some mining operators have set up rigs inside them to avoid paying the high electricity tariffs imposed on legal miners. This is illegal, but enforcement is weak because these operations often have political connections. It creates an uneven playing field and undermines the entire licensing system.
What’s the future of crypto mining in Iran?
The future is bleak for private miners. The government is moving toward full state control of digital currency through its digital Rial. Mining is being squeezed out by energy restrictions, licensing barriers, and political favoritism. The only sustainable mining will be state-run, and even that depends on whether the grid survives another summer. The era of independent crypto mining in Iran is ending.
Alison Fenske
December 26, 2025 AT 12:00Imagine running a business where the rules change every time you blink and the guy who stole your power gets a medal
Iran's crypto scene isn't broken-it's a mirror
They want control, not innovation
And the worst part? The people suffering are the ones trying to play by the rules
Meanwhile, the IRGC mines in mosques like it's a holy duty
Who even writes these policies? A bureaucrat with a grudge?
It's not about energy-it's about who gets to own the future
And the future looks like a ledger with one name on it
Grace Simmons
December 27, 2025 AT 23:44This is exactly why Western crypto evangelism is naive. You cannot separate technology from the political systems that govern it. Iran is not an anomaly-it is a preview. The state does not tolerate decentralized power. Period. The digital rial is not a failure-it is the logical endpoint of authoritarian digital governance. The West is still pretending blockchain is about freedom. It is not. It is about control. And Iran is winning the game.
Jayakanth Kesan
December 28, 2025 AT 05:37Man, I read this and just sat back
It’s wild how the same tech that was supposed to break chains ends up being used to forge new ones
Kinda poetic in a tragic way
Hope someone figures out a way to keep it alive for regular folks
Even if it’s just a few rigs hidden in a basement somewhere
Aaron Heaps
December 28, 2025 AT 23:56Stop romanticizing this. No one cares about the little guy. The system is designed to extract. The IRGC doesn’t care about your rig. They care about your dollars. And they’ll take them. With interest. And a gun.
Also, your ‘energy crisis’? It’s a cover. The real crisis is their inability to govern without theft.
And you? You’re just collateral.
Tristan Bertles
December 29, 2025 AT 02:29It’s easy to say ‘don’t mine in Iran’-but what if you’re a student trying to pay for meds? Or a family trying to survive inflation?
They didn’t create this mess. They’re just trying to survive it.
Maybe the real question isn’t ‘can you mine?’
It’s ‘why does survival have to be illegal?’
And why does the world look away while they’re being squeezed?
Melissa Black
December 30, 2025 AT 18:34Decentralization as a vector of resistance has been co-opted by the very architectures it sought to dismantle
Iran’s digital rial is not a currency-it is a surveillance protocol wrapped in the aesthetics of fiscal modernity
Mining licenses are not regulatory instruments-they are identity gates
Every ASIC on the approved list is a fingerprint
Every transaction logged is a metadata signature
The blockchain was supposed to be a ledger of the people
Now it’s a ledger of the state
And the people? They’re just the input
chris yusunas
December 31, 2025 AT 22:25Man this hit different
Same story everywhere-power, control, who gets to play
Here in Nigeria we got the same thing with Naira digital
They say it’s for efficiency
But we all know it’s for tracking
At least in Iran they still let you mine
Here? You can’t even hold crypto without someone asking for your ID
It’s like the future got a badge
Naman Modi
January 1, 2026 AT 13:44LMAO so now mining is illegal unless you’re a terrorist group
Classic.
Also why is everyone acting surprised?
China did this first.
Russia is doing it now.
USA? They’re just nicer about it.
Get over it.
It’s not crypto. It’s capitalism with a gun.
😂
Tyler Porter
January 3, 2026 AT 03:02Let me just say this: if you’re thinking about mining in Iran, please, please, PLEASE talk to someone who’s been there.
It’s not worth it.
Not even close.
You think you’re being smart?
You’re just giving the government a reason to shut you down.
And when that happens?
You won’t get your money back.
You won’t get your rig back.
You won’t even get an apology.
Just silence.
And that’s the real cost.
Rebecca F
January 3, 2026 AT 09:14Oh look, another country that thinks it can control the internet
How quaint
They’re not fighting crypto
They’re fighting the future
And the future doesn’t need permission
It just shows up
And when it does?
They’ll be left holding a broken grid and a digital rial no one wants
Pathetic
Cathy Bounchareune
January 4, 2026 AT 09:34My cousin lived in Tehran in 2023. She had three rigs in her apartment.
She said the power cuts were so bad, she’d wake up at 3 a.m. just to check if the lights were on.
She’d smile when they came back on.
Not because she was mining.
But because her mom’s oxygen machine could still run.
That’s the real story here.
Not the IRGC.
Not the licenses.
Just a woman trying to keep her mother alive while the state steals her electricity.
And calls it regulation.
Jordan Renaud
January 5, 2026 AT 22:17There’s a quiet courage in trying to build something good in a place that wants you to fail.
Iran’s miners aren’t tech bros.
They’re parents, students, doctors, nurses.
People using the only tool left to them to survive.
And the government? They don’t see people.
They see hash rates.
And they’re terrified of what happens when people have too much control.
So they take it.
But they can’t take the will to try.
And that’s the one thing they’ll never own.
Luke Steven
January 7, 2026 AT 00:36It’s funny how the same people who scream ‘decentralization’ when it suits them go silent when it threatens their power.
Iran isn’t the exception.
It’s the rule.
Every government fears what it can’t control.
And crypto? It’s the last thing they can’t fully own.
So they try to turn it into a tax form.
And a surveillance tool.
And a weapon.
But the code doesn’t care.
It just keeps running.
Even if it’s hidden in a mosque.
Even if it’s powered by stolen electricity.
Even if it’s just one rig in a basement.
It’s still there.
And that’s the spark they can’t extinguish.
Ellen Sales
January 7, 2026 AT 18:42so like… the irgc is mining in mosques??
and the government is like ‘oh no not the power!!’
but also ‘lol we’re the ones stealing it’
bruh
they’re not even trying anymore
it’s like watching a toddler steal cookies and then cry because the cookie jar is empty
😂
Sheila Ayu
January 9, 2026 AT 05:52Wait-so you’re telling me the government is creating a system that forces people to break the law to survive… and then punishing them for it? That’s not policy. That’s psychological warfare. And they’re winning. Because now everyone is guilty. Everyone is compromised. Everyone is afraid. And that’s exactly what they wanted. You can’t fight a system that makes you complicit just by breathing.
Janet Combs
January 9, 2026 AT 14:15so i read this and i just… cried?
not because i’m sad
but because it’s so real
and so quiet
no one talks about the mom who mines to pay for insulin
or the student who rigs his laptop to buy books
they just call it ‘illegal mining’
but it’s survival
and the system knows it
and still takes it anyway
how do you sleep at night?
Dan Dellechiaie
January 11, 2026 AT 12:16Let’s be brutally honest: Iran’s crypto policy is a masterclass in extractive authoritarianism.
They’ve weaponized regulation as a tool of rent extraction.
Legal mining? A tax farm.
Hardware restrictions? A supply chokepoint.
API-controlled transactions? A data goldmine.
And the IRGC? The ultimate black-market operator with state armor.
It’s not broken.
It’s optimized.
And the rest of us? We’re just the margin.
Radha Reddy
January 12, 2026 AT 07:05I respect the resilience of Iranian miners. Truly.
But I also see the danger of normalizing this as ‘just another country’s struggle.’
This isn’t about Iran.
This is about the global erosion of financial autonomy.
When governments can dictate what hardware you use, who you transact with, and how you access your own money-
we are no longer living in a free economy.
We are living under a digital feudal system.
And Iran is just the first to show us the crown.
Shubham Singh
January 13, 2026 AT 11:33How ironic. A nation that once prided itself on resisting Western hegemony now replicates its most oppressive surveillance mechanisms with even less transparency. The irony is not lost on those who remember the 1979 revolution. The revolution was against the Shah’s tyranny. Now, the tyranny wears a blockchain logo. The people didn’t win. They just changed the uniform.
Charles Freitas
January 14, 2026 AT 18:09Wow. So you’re saying the government is corrupt? Shocking. And the IRGC is powerful? Revolutionary. And people are suffering? Mind blown.
Did you also know water is wet? And the sun rises? And capitalism is cruel?
This isn’t news. It’s a TED Talk from 2018.
Go write a novel. Or a poem. Or a petition.
But don’t pretend you discovered something new.
It’s all been done.
And it’s always been this way.