Iran has passed a law enabling the use of Bitcoin and cryptocurrency payments for imports through a comprehensive legal framework, according to a report from local news outlet Tasnim.
According to the report, Iran’s Minister of Industry, Mines and Trade, Reza Fatemi Amin, announced that the recently passed law defines regulations regarding cryptocurrencies, addresses supply concerns regarding fuel and electricity costs for mining, and authorizes the administration to use cryptocurrencies.
Minister Fatemi Amin reportedly reiterated that the authorization is an agreement between the Ministry of Industry and the Central Bank – controversially, a multi-departmental consensus has been proposed on the viability of bitcoin as a tool for international payments.
Fatemi Amin also noted that local businesses could import vehicles using bitcoin instead of US dollars or euros. Tasnim stressed that the move comes right after the announcement by the head of Iran’s Trade Promotion Organization (TPO) on August 9 that the country has registered its first import order processed with cryptocurrency. The value of the order is reported to be over $10 million.
Going back to May last year, Iran had previously banned bitcoin mining, citing power grid concerns. Additionally, Iran’s central bank also banned the trading of cryptocurrencies issued outside the country in the same month. The mining ban was later lifted in October and re-enforced by December of the same year, once again citing power grid concerns.
Therefore, it can be argued that Iran has taken this step towards comprehensive reform to take a firmer and longer-term stance on bitcoin and other cryptocurrencies.
