Iran's Struggle: Power Blackouts and the Bitcoin Boom

Iran faces power blackouts affecting daily life and business, potentially linked to cryptocurrency mining. Amidst international sanctions and low fuel reserves, bitcoin mining could be straining the grid. The government subsidizes electricity, fostering mining operations. Climate, economic pressures, and governance challenges contribute to enduring energy issues.

In recent weeks, Iran has experienced rolling power blackouts stretching from the capital to outlying provinces, severely disrupting daily life and business operations. The outages have sparked speculation that cryptocurrency mining might be a contributing factor, among other challenges facing the nation.

Iran's economy has been under strain due to international sanctions linked to its nuclear program, exacerbating existing economic issues. As demand on the power grid continues unabated, especially with bitcoin's value soaring past $100,000 recently, unauthorized mining activities are believed to significantly increase electricity consumption.

The Iranian government has been taking steps to address the energy crisis, with President Masoud Pezeshkian urging the public to conserve energy. Meanwhile, suspicions grow over the involvement of unauthorized bitcoin operations in contributing to power shortages, as some assert that these activities are facilitated by Iran's subsidized electricity network.

(With inputs from agencies.)