The Iranian government is going to be cutting off power to crypto mining till new energy costs are approved, per a report by local press agency Iran Daily on June 24.

Mostafa RajabiMashhadi, a political candidate at Iran’s Ministry of Energy, reportedly disclosed that the country has seen a seven-membered spike of electricity consumption over a monthly period ending on June 21, 2019.

Rajabi emphasized the weird nature of the spike, as opposed to similar time spans within the past years, revealing that the country’s facility had plainly become unstable.

According to the official, the Iranian Ministry of Energy believes that the surge was caused by the growing number of crypto mining activity within the country, adding that the state can take necessary measures to stop energy problems.

As such, Rajabi reportedly explicit that crypto miners “will be known and their electricity is going to be cut,” till the govt. approves the recent ministry’s proposal for a change in costs for crypto mining operations. Rajabi explicit that the authority can have to enforce such action since this overconsumption of electricity is “causing downside for alternative users.”

On June 9, the deputy energy minister of Persia urged that electricity bills for the digital currency miners ought to be calculated in accordance with real costs, or similar rates established for power exports.

Iran, a country that was reportedly making the most of crypto mining despite the market of 2018, pays about $1 billion in subsidies annually to bridge the gap in real electricity prices and what customers are billed, a discount that cryptocurrency miners are taking advantage of with relish amid economic turmoil and sanctions.

The country’s perspective toward crypto mining had been mostly positive since September 2018, with major state authorities accepting mining as a business.

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