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Mining responsible for atmospheric deterioration in Iran?

Advancing the hypothesis is a Bloomberg report

The debate onair pollution caused by the mining it has been overshadowed by other issues over the past few months. The problem, however, continues to exist, as the news from theIran. Where according to a report by Bloomberg, the situation created by the permits granted by the authorities to mining farm, in order to operate within the country, is causing far-reaching negative effects.

cryptocurrency mining - Mining responsible for worsening atmospheric in Iran?

What is happening in Iran

The report drawn up by Bloomberg analysts does not seem to leave much doubt. The energy requirement of Bitcoin (BTC) and the mining of cryptocurrencies in Iran, mixing with the demand for heat in an exceptionally cold winter, contributed to a shortage of natural gas. Consequently obliging power plants to a presumably burning "low-quality fuel oils", in order to meet the electricity needs of the country. The result of this choice has been the formation of "thick layers of toxic smog" in many cities. Which was added to the blackouts resulting from the closure of some power plants.

The government's denial

The authorities in Tehran tried to deny the claims in question, relating to the use of lower quality fuels. He did this in particular Bijan Namdar Zanganeh, Iranian oil minister. However, the data reported by some press organs, in particular those obtained from IQAir, to formalize without a shadow of a doubt that the air quality is very low at the moment, settling at 171. This data has therefore been linked to recent release of over a thousand licenses to companies operating in cryptocurrency mining.

Mining is encouraged by the Iranian government

Over the past few months, Iran has given birth to one notable shift in the direction of a strong digital economy. With the clear intention of countering the very heavy effects of the US embargo. A policy which can be symbolized in particular by the proposal to other countries for the launch of one Muslim cryptocurrency. Advance during a conference held in Malaysia in 2019.
Furthermore, digital money has been identified as a possible asset to be used by the Iranian central bank, in order to facilitate imports. In this policy, mining has also assumed a relevant importance, with the issue of a large number of licenses. Mining farms, however, are now causing one real environmental crisis in the Middle Eastern country.

The illegal use of electricity for mining

Recently, the Iranian government has taken care of the closure of 1620 installations for the extraction of cryptocurrencies. Which, although not in possession of authorization to do so, continued their activity, using moreover subsidized energy. That is, at a lower cost than that usually practiced by the Iranian electricity company. Companies that combined, in the span of 18 months had consumed 250 megawatts.
However, the real number of the many illegal mining farms present within the country is not known, which represent a problem of no small importance. Suffice it to say that in 2019 the authorities identified two mining farms located inside mosques. Just places of worship, in fact, enjoy free energy, thus proving ideal for miners. As can be understood, therefore, the true extent of digital money mining activities is difficult to define.

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Dario Marchetti

I have a degree in Literature and Philosophy from the Sapienza University of Rome, with a thesis on the eastern border of Italy at the end of the First World War. I have collaborated with several sites on many issues and led the work group that published the official CD-Rom of the SS Lazio "History of a love" and "Photographic History of Magical Rome".

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