Iran has now finally given a green signal to the use of cryptocurrency for imports into the nation while international trade sanctions are underway.

This approval has come from Iran’s Industry, Mines and Trade Ministry.

Trade Minister Reza Fatemi Amin gave confirmation that these regulations which are quite detailed have been approved and were in sync with the use of cryptocurrencies for trade and supplying fuel and electricity to Bitcoin and crypto miners in the country.

The regulatory change was mentioned in the automotive industry exhibition which was just a week later when Iran had placed its first-ever import order for vehicles which were nearly amounting to $10 million, paid through cryptocurrency as a method of payment.

It was previously mentioned by the Iranian trade ministry that cryptocurrencies and smart contracts would have gained popularity in foreign trade by the end of this year itself.

Trade Minister Fatemi Amin stated that this authorization happened as an agreement between the Ministry of Industry and the Central Bank.

This meant a multi-departmental consensus on Bitcoin as a means for international payments.

Iran Protecting Crypto Investors

Right after the import, Iran’s Import Association insisted on clear regulatory metrics which would ensure that the nation’s businesses and importers are not confused due to changes in the directives.

The new regulations are supposed to specify all the issues which are related to cryptocurrencies, it includes the process to grant licenses as well as the provision of fuel and mining operators in the country.

The nation had earlier banned the mining of bitcoin owing to environmental concerns as there remains a power grid issue.

The Iranian central bank also put a cease to the trading of crypto which was mined outside the country, all in the same month.

Now the local businesses shall be able to import vehicles into Iran along with other ranges of different import goods using digital assets and not having to use United States dollar or euro payments.

Iran Trying To Become Adoptive Of Crypto

The International trade sanctions against Iran have been opposed mainly due to the nuclear program, which had isolated the country from the global banking system.

The need to adopt digital asset came in ever since Iran stayed away from the global banking system.

To address and bypass sanctions for imports Iran tried to adopt crypto given the decentralized nature of public blockchains like Bitcoin and Ethereum which are not controlled by the central authorities.

The Iranian Industry, Mine and Trade Ministry granted operating licenses to 30 crypto mining centers in Iran last year in the month of June.

Additionally, more than 2,500 permits were approved to establish new mining operations.

The government also cracked down on illegal mining operations and also imposed a three-month ban on mining to alleviate pressure on the national grid.

Related Reading: Iran Import Association Calls For Regulatory Clarity About Crypto In Foreign Trade