In the latest step by the government to control the industry, Iran’s President has asked for a new framework for regulating digital money in the country.
President Hassan Rouhani stated that the government needed a legislative framework for digital currency and related activities to protect the country’s interests while keeping digital currency mining illegal.
Authorities in Iran recently outlawed digital currency mining due to concerns about its influence on national infrastructure, with a rise in mining disrupting power supplies across the country, resulting in blackouts in some of its largest cities.
When crafting new legislation, Rouhani stated that they must consider both the technological and legal requirements of digital currencies.
Rouhani called for regulation as quickly as possible, saying it was needed to protect investors from the dangers of digital currency trading.
“For legalizing the activity of cryptocurrencies and protecting people’s capital in this area, we must think of a solution as soon as possible and lay down and communicate the necessary laws and instructions.”
Rouhani stated that a joint working committee would be required to create the rules and, more importantly, raise public knowledge of the new industry regulations.
“The responsible agencies in the field of capital markets should cooperate with the media and cyberspace in the field of information, education and public awareness about this phenomenon and its instructions and laws.”
The President also announced that digital currency mining would be prohibited until at least the end of this summer, with the Ministries of Communication and Information Technology and Energy…being in charge of shutting down these facilities.
People caught digital mining currency through household electrical connections face substantial fines as part of the measures’ enforcement efforts, which are expected to last for the foreseeable future.