Iran’s crypto mines could be used to help fund car imports

It seems that the private sector is not satisfied with the country’s local fiat money.

According to ArzDigital, Gholam Hossein Mozaffari, CEO of the Kish Free Zone Organization, hopes that the Iranian government will approve a proposal to use crypto funds, such as Bitcoin (BTC), to pay for car imports on Kish Island in Iran.

The decision will fall to the Central Bank of Iran, who has said in the past that this type of funding would not be possible due to the hyperinflation of the rial — the nation’s currency. 

Mozaffari told local media outlets that the issue of car imports has been a “sad story,” because of the expensive costs involved:

“Our next suggestion was that we would provide the required currency through digital currency mined in free zones, the origin and amount of which are known, and would not put any pressure on the country's currency.”

Mozaffari is meeting with the head of the Central Bank next week, and hopes the outcome will be fruitful. The organization appears to have already begun working with companies in the private sector to set up a framework for crypto transactions, in the event that the central bank does indeed greenlight the proposal.

In August, Taras Kulyk, Senior Vice President of Blockchain Business Development at Core Scientific, told Cointelegraph that governments – like Iran – are looking to make their policies more favorable to mining in order to gain competitive advantages over other countries.

The Iranian government recently took down over a thousand crypto mining farms that were operating without a license.