The year 2024 has started the bitcoin industry has started facing some downfalls. This is actually a post effect of the extraordinary increased price of the bitcoin back in December 2024. As we all know the year 2024 has been a year of surprises but now it seems like that was not it!
Iran Goes Dark
Recently an insane event happened in Iran and people are confused. Let’s not complicate this story and get into the details.
It has been observed that certain cities and towns of Iran are going under a blackout situation and it seems like that this can be an effect caused by some heavy smog. Now the main question is what resulted in such a massive smog. As we all know that Iran is already facing several crises that are political and financial. In such a situation this heavy toxic air pollution has left the Iranian government all in disgrace and shock, especially in a time when the country is still in the Coronavirus pandemic situation.
Iranian Blackout and Bitcoin
Wait a second. You might be confused that what all of this has to do with cryptocurrency mining. Well to your surprise the Iranian Government is having a very interesting point of view in this situation. They are saying that this whole blackout that is most probably toxic is a result of residual pollution coming out of Crypto Farms.
They are saying that as bitcoin mining is a process that involves heavy and massive computers, these computers are consuming way too much power and are creating way too much pollution that is resulting in blackouts in Iran.
Iranian Government mad at Cyber currency
However, this should be kept in mind that these blackouts are not new in Iran. The country has been facing these blackouts for many years. This time the government is through a string argument by saying that this is a result of very massive mismanagement of the electricity and power department.
Continuing this argument this is also presented that the cryptocurrency farms are also involved in resulting in such an uncertain situation that caused blackouts in the country. Bitcoin mining is a process that is important for the verification of the transactions of the bitcoins and the government is saying that the bitcoin minors and their computers are involved in this whole crisis. The partial blame on the miners of the bitcoins can be valid to some extent. But right now this is too early to say and claim anything.
As a loop on this whole situation, the Iranian government has canceled the license of a china based Iranian cryptocurrency so that they can no longer mine and function in the state of Iran. This was some on this last Thursday. Keep in mind that this company names Chinese Iranian Cyber currency has been regulating since the year 2019. The sudden cancelation of the license is pretty shocking for the organization but the Iranian government has its point.
People have different Opinions
Wel this ban on the cyber currency agency is not what it looks like. The Iranian officials have a point that this currency was operating unfair means in the country and was conducting some illegal activities. Furthermore, they said that such a huge cryptocurrency and its mining network is a huge burden in the Iranian power stations and are causing blackouts and pollution in the country.
The Iranian spokesperson Mr. Rajabi Mashhad made a point that he has observed several unregistered and illegal farms been working in the whole country. He further said that he planning to ban all these agencies. This news has been a shock to several major agencies including the bitcoin cryptocurrency. If the mining system will be blocked in Iran, it is clear that this will impact the whole spike of the bitcoin cryptocurrency and other cyber currencies. To know more about this please visit at https://www.bitcoincircuit.biz/.
The most important thing here is that the Bitcoin virtual currency network fully rejected the accusation. Even a huge number of Iranian locals are also saying that this statement made by the government is ridiculous and has nothing to do with Bitcoin mining or anything like that,
An Iranian based Crypto professor Mr. Ziay stated that that the blackouts happening nationwide are because of bitcoin mining has no truth in it. He further said that the overall ratio of the bitcoin miner in the country is way too small to leave such a huge impact on the geographical environment of the country. Continuing this argument he said that the government and the responses are simply taking the load off their shoulders. He said that such mismanagement cannot be overlooked by shutting down the cryptocurrency which has nothing to do with the blackout of the toxic foggy pollution.
Confusions!
On one hand, the Government is blaming cyber currency mining for the whole situation, While on the other hand, they are saying that the cheap and low-quality e; electricity supplied by the country is the reason behind the blackouts and the energy crisis faced by the country. This point can be proved easily by seeing that the total amount of the energy that is being used by the cryptocurrency miners is way less than the total amount of energy that is lost while the electricity distribution,.
Bottom Line
However, the Iranian Government is not listening to any point and they are stuck on the point of shutting down the cryptocurrency agencies around the country. Till the latest news, the government has banned around 24 plus cryptocurrency agencies and has said them to stop working immediately so that the energy crises can be compensated
Having said that, we can see that cryptocurrency is in a danger in Iran. The main reason behind the ban of several crypto networks included bitcoin is still unknown but the government is constantly saying that they are taking this step to control the blackout situation. Let’s see what comes next on the plate. Is this about the energy crisis or is this related to illegal activities that are being supported by crypto headquarters or simply a grudge.
