Iran’s silent Bitcoin buildup through state-backed mining

Iran might not make headlines for holding large Bitcoin reserves, but it has quietly built a significant stake using a legal mining-for-reserves strategy. Since 2019, Bitcoin mining has been regulated by the government, requiring licensed miners to sell their mined BTC directly to Iran’s Central Bank. This transforms cheap, often subsidized electricity into a steady pipeline for accumulating state-backed Bitcoin assets. This approach allows Iran to circumvent sanctions and pay for imports without openly declaring wallet addresses—a textbook example of silent Bitcoin accumulation focused on utility rather than visibility. While precise numbers are scarce, estimates once suggested Iran accounted for about 4%-7% of the global Bitcoin hash rate. Much of this mining output likely feeds into hidden government reserves. Domestic exchanges linked through Shaparak, Iran’s state payments network, ensure mined coins are tracked and absorbed efficiently. It’s worth noting that not all mining in Iran is above board. A large shadow mining sector operates in rural and industrial areas, exploiting cheap power. Whether through official or unofficial channels, however, much of the mined Bitcoin eventually ends up in state hands. #Finance #MakeMoney #BitcoinMining