Iran’s Crypto Mining Industry Is Bigger — And Harder to Track — Than You Think
Iran has become a surprising hotspot for Bitcoin mining, especially over the last five years. While official statistics are scarce, estimates suggest that Iran may have mined between 60,000 and 200,000 BTC since the country began legally embracing crypto mining in 2019.
But how much Bitcoin Iran has truly mined is difficult to verify, and most of the mining is deeply underground, both literally and politically.
Bitcoin Mining in Iran: A Response to Sanctions and Inflation
Under intense global sanctions and a rapidly devaluing national currency, Iran turned to crypto — especially Bitcoin — as a tool for economic survival. As early as 2018, Iran began exploring mining as a state-endorsed practice.
“Iran accounted for 7.5% of the global Bitcoin hashrate in March 2021,” according to data from Cambridge University.
By 2022, that figure dropped sharply to just 0.12%, but not because mining stopped. Rather, it went underground.
Legal Mining vs. Underground Operations
Iran began issuing crypto mining licenses in 2019.
- In 2020, around 1,000 licenses were issued.
- By 2022, over 10,000 licenses had been granted to miners and exchanges.
However, the problem? Nearly 85% of crypto mining in Iran remained unlicensed, according to former President Hassan Rouhani.
That’s because licensed miners must sell their Bitcoin to Iran’s central bank — reducing profits and defeating the decentralized nature of crypto.
Illegal Mining Through Mosques, Schools, and Institutions
To avoid high electricity tariffs, many operations — including those in schools and mosques — tap into subsidized electricity to mine Bitcoin.
An estimated 700,000 illegal mining rigs were operating in Iran as of 2025.
This illegal mining has led to nationwide power outages, overwhelming the country’s electrical grid. In response, Iran’s state electric utility, Tavanir, has begun offering cash rewards for whistleblowers reporting illegal mining setups.
So How Much Bitcoin Has Iran Mined?
Experts disagree:
- Some believe Iran has mined about 60,000 BTC, worth over $6.4 billion at today’s prices.
- Others estimate a range of 100,000 to 200,000 BTC, translating to $10.7 billion to $21.4 billion in value.
But with so much happening off the books, the real number remains uncertain — and likely much higher than most realize.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.