New technologies, including blockchain and cryptocurrency mining, have helped Iran increase budget receipts and face foreign sanctions, according to the country’s minister of economy and finance. Highly placed officials believe that the government cannot interfere in their development for long.
Government Official Warning Against Disrupting Crypto Development
Over the past few years, Tehran has moved closer to reaching its income tax targets, Iran’s Minister of Economic Affairs and Finance, Farhad Dejpasand, commented recently. He revealed that the implementation of new technologies accounts for about a third of the budget revenue growth. Commenting on the data, Dejpasand elaborated:
Blockchain will account for 10 percent of the world’s GDP in the next four years. As electricity consumption has increased, we have limited the mining of cryptocurrencies while, in the long run, we may not get in the way of technology development.
economy minister was referring to seasonal ban Cryptocurrency mining was imposed amid power shortage in the country. Digital coin mining is booming in Iran due to high cryptocurrency prices and access to cheap energy. But the government has blamed this year’s drought as well as excessive consumption of electricity for the frequent blackouts in many cities. officials have an estimate That licensed and illegal miners burn about 2,300 megawatts together per day.
New technologies help Iran face US sanctions
Speaking at an event unveiling two e-commerce projects, Farhad Dejpasand also highlighted the importance of electronic trade for the country’s economy. Share of e-commerce in GDP (Gross Domestic Product) has increased 2.4-fold in the Islamic Republic, the minister was quoted by the Tehran Times earlier this week.
According to the Iranian E-commerce Development Center, there has been a four-fold increase in online business transactions between March 20 and September 21, 2020, compared to the same period last year. Meanwhile, the number of newly issued online business licenses has tripled as traditional businesses try to expand into web-based sales to adapt to the changing shopping habits of Iranians.
By employing all these new technologies, Iran has largely managed to withstand economic sanctions imposed by the United States, Dejpasand emphasized. He has also backed Iran’s capital market indicators and contributed to the fight against the coronavirus pandemic.
Recognizing the potential benefits of using crypto to remove trade barriers, Iran Authorized Local banks and exchangers use cryptocurrencies mined inside the country to pay for imports. However, regulators have tried Control Other types of business to inspire Iran’s fintech industry to warn That sanctions will only deprive the nation of opportunities. Startups have reported that cryptocurrencies have helped Iranian businesses bypass the blockade on banking, shipping and insurance services.
Do you think the Iranian authorities will allow crypto technologies to be developed freely in the country? Share your thoughts on this topic in the comment section below.
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