Iran deployed nearly a thousand computers used to illegally mine Bitcoin

Having discovered an unusual increase in energy consumption, the Iranian authorities took nearly a thousand computers that were used to reduce cryptocurrency, according to the state's state media.

Authorities discovered two bitcoin farms operating in abandoned factories in Yazd province, which led to a seven percent increase in the country's electricity consumption this month. Iran's Central Bank ruled out cryptographic bugs last year, referring to money laundering concerns. According to RadioFreeEurope officials have said that the exercise makes the local power grid "unstable" and warned that people involved in the exercise may be cut off.

Cryptocurrency is "mined" as powered computers solve mathematical problems, a task that requires considerable power. Iran subsidizes its power and keeps prices low, which seems to be a reason why miners have operated in the country. Access to cryptocurrency seems to be helping residents avoid US-imposed sanctions on the bank.

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