Iranian Bitcoin Mining Power Calculator
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Iran produces Bitcoin for as little as $1,300 per coin. Meanwhile, the average household in Tehran goes without power for 10 hours a day. This isn’t a glitch-it’s policy.
Why Iran Lets Miners Drain the Grid
Iran’s government doesn’t just allow cryptocurrency mining-it actively encourages it. Electricity for licensed miners costs between $0.01 and $0.07 per kilowatt-hour. In most countries, that same amount of power would cost 10 to 100 times more. In Italy, mining one Bitcoin eats up $306,000 in energy. In Iran? It’s under $1,300. That’s not a bargain. It’s a state-funded giveaway.This isn’t about innovation. It’s about survival. With international sanctions cutting off access to global banking systems, Iran turned to crypto mining as a way to earn foreign currency. The Central Bank of Iran now permits licensed miners to sell their Bitcoin for trade settlement. That means mined coins are used to buy food, medicine, and machinery from countries that won’t touch Iranian banks. The result? Over $1.5 billion in annual revenue from mining, according to AInvest’s 2025 report.
But who pays the real price?
The Real Cost: Power Outages and Public Anger
Crypto mining in Iran uses nearly 2,000 megawatts of electricity-about 5% of the country’s total power output. That might sound small, but it’s the difference between lights on and lights off for millions. During summer 2025, when air conditioning demand spiked, the grid buckled. Blackouts hit 12 hours a day in major cities. Meanwhile, mining farms in Ahvaz, buried inside the tunnels of a disused stadium, ran nonstop.On social media, Iranians are furious. A tweet from @IranEnergyCrisis captured the mood: “21 hours of blackouts this week while the IRGC’s mining farms in Ahvaz Stadium tunnels run 24/7-this is economic terrorism against ordinary Iranians.” The post got over 12,000 shares. On Reddit’s r/Iran, 92% of 1,450 comments blamed mining for the outages. Telegram channels now share real-time blackout maps that line up perfectly with known mining locations. When Bitcoin’s price jumps, blackouts spike within 48 hours.
The government’s own data confirms it. In mid-2025, during a nationwide internet shutdown linked to regional conflict, power use dropped by 2,400 MW-not because factories shut down, but because over 900,000 illegal mining rigs were suddenly offline. That’s not a coincidence. That’s proof of scale.
Legal vs. Illegal: A Game of Whack-a-Mole
There are two kinds of miners in Iran: the licensed and the illegal. The licensed ones pay $0.04-$0.07/kWh and jump through hoops: they need approval from the Ministry of Industry, registration with the power company, and permission from the Central Bank to export Bitcoin. The process takes 3-6 months. Approval rates? Below 40%.Meanwhile, illegal miners pay nothing. They plug into household lines, use stolen transformers, or tap into industrial substations. They don’t need licenses. They don’t pay taxes. And they’re everywhere. The Energy Ministry estimates illegal miners consume up to 2 gigawatts daily-equivalent to the entire power usage of Tehran, a city of 9 million people.
The government responds with raids. In early 2025, they launched a reward program: citizens who report illegal mining get 10% of the recovered electricity costs. In six months, they received 8,432 tips and shut down 2,157 operations. But for every rig seized, five more pop up. The IRGC controls an estimated 60% of all illegal mining, according to energy analyst Mohammad Bagher Nobandegani. That’s not crime-it’s a state-backed revenue stream.
Who Benefits? Who Gets Left Behind?
The money flows upward. Licensed miners pay a 15-20% commission to state-approved mining pools. The IRGC, through front companies, takes an estimated $400-500 million per year from illegal operations. That cash funds everything from missile programs to proxy militias.Meanwhile, ordinary Iranians pay with their daily lives. A mother in Shiraz can’t refrigerate her child’s insulin. A factory in Isfahan shuts down because the machines can’t restart after a 6-hour blackout. A student in Mashhad can’t study after dark because the power cuts at 8 p.m. every night.
Dr. Saeed Laylaz, economic advisor to former President Khatami, put it bluntly: “The government has created a parallel economy where the IRGC controls both the energy supply and the cryptocurrency output, bypassing central bank oversight.”
Energy Minister Ali Akbar Mehrabian defends the system: “Regulated mining brings in $800 million in foreign exchange.” But that’s the problem. The money isn’t going to hospitals or schools. It’s going to weapons and covert operations.
Why Iran Won’t Stop
Iran could shut down mining tomorrow. But then it loses its only legal way to bypass sanctions. The U.S. and EU block Iranian banks. No wire transfers. No credit cards. No PayPal. Crypto is the workaround. Bitcoin becomes Iran’s digital dollar.That’s why the government doesn’t ban mining-it just turns it off when it hurts too much. In 2021, 2022, and 2023, they shut down all legal mining during summer months when electricity demand peaked. They let it run again in winter, when heating needs are high and power use drops. It’s not a policy. It’s a survival tactic.
The International Energy Agency warns that without major grid upgrades, Iran’s power shortages could grow by 25-30% by 2027. But upgrades cost billions. And billions are being spent on mining rigs instead.
The Global Comparison: Why Iran Stands Out
Kazakhstan used to be the world’s second-largest Bitcoin miner after the U.S. But after Russia’s invasion of Ukraine, Kazakhstan tightened its energy rules. Mining costs there jumped to $5,000 per Bitcoin. Russia cracked down. China banned it entirely. Even the U.S. saw energy prices climb.Iran is the last place on Earth where you can mine Bitcoin cheaper than the cost of a decent smartphone. And it’s not because of technology. It’s because the government is willing to let its people suffer for it.
There’s no other country where mining consumes 15-20% of the electricity imbalance. No other country where citizens openly call it “economic terrorism.” No other country where the military runs the power grid-and the miners.
What’s Next?
Iran’s government has started requiring all mining operations to install smart meters and register with industrial facilities. But enforcement is patchy. Illegal miners still thrive. The Central Bank still allows crypto for trade. The IRGC still controls the grid.The only real solution? A complete overhaul of Iran’s energy infrastructure. But that would take $20 billion and a decade. And right now, the regime would rather spend that money on mining rigs.
For now, Iran’s crypto mining boom isn’t about innovation. It’s about control. And the cost? Millions of people living in the dark.
How much electricity does Bitcoin mining use in Iran?
Iran’s cryptocurrency mining operations consume about 2,000 megawatts of electricity daily, which is roughly 5% of the country’s total power output. Illegal miners alone are estimated to use up to 2 gigawatts-equivalent to the entire electricity demand of Tehran. Mining a single Bitcoin requires over 300 megawatt-hours, enough to power 35,000 Iranian households for a day.
Why is electricity so cheap for crypto miners in Iran?
The Iranian government heavily subsidizes electricity for industrial users, including licensed crypto miners, charging as little as $0.01-$0.07 per kilowatt-hour. This is far below global averages and even below the cost of electricity in many developing countries. The goal is to encourage mining as a way to earn foreign currency and bypass international sanctions.
Are there legal ways to mine cryptocurrency in Iran?
Yes, but it’s tightly controlled. Miners must get approval from the Ministry of Industry for equipment imports, register with the national power company (Tavanir) for electricity quotas, and receive authorization from the Central Bank of Iran to export mined Bitcoin. The process takes 3-6 months, and approval rates are below 40%. Licensed miners pay $0.04-$0.07/kWh, still far cheaper than global rates.
What role does the IRGC play in Iran’s crypto mining?
The Islamic Revolutionary Guard Corps (IRGC) controls an estimated 55-65% of all mining operations, either directly or through front companies. These operations often use stolen power, bypass regulations, and funnel profits into state-controlled budgets. Analysts call it state-sanctioned theft of public energy resources.
Why do Iranians blame crypto mining for blackouts?
Iran’s power grid is old and underfunded, operating at only 60-70% of needed capacity. When mining demands spike, especially during summer, the grid can’t handle the load. Blackouts correlate directly with Bitcoin price surges and mining activity. In 2025, a nationwide internet shutdown caused a 2,400 MW drop in power use-only because illegal mining rigs were turned off. This proves mining is the primary strain on the system.
Can Iran shut down crypto mining completely?
Technically, yes. But politically, no. Crypto mining is Iran’s main way to earn foreign currency under sanctions. The government allows it to continue because it brings in $1.5 billion annually. Instead of shutting it down, they manage it-turning it off during peak demand, cracking down on illegal operations, and keeping licensed miners running to maintain revenue.
Arjun Ullas
November 4, 2025 AT 04:49The systemic exploitation of Iran's public infrastructure for private-state gain is not merely unethical-it is a catastrophic failure of governance. With 2,000 MW diverted to mining, while households endure 12-hour blackouts, this is not policy-it is predation. The IRGC’s control over 60% of illegal operations confirms this as state-sponsored energy theft. The Central Bank’s sanction-bypassing crypto scheme is not innovation; it is the institutionalization of moral bankruptcy. The world must recognize this not as an energy crisis, but as a human rights violation disguised as economic strategy.
Steven Lam
November 4, 2025 AT 17:19bro its just bitcoin why are you mad its not like iran is stealing your wifi
Sierra Rustami
November 5, 2025 AT 05:05Iran gets what it deserves. Sanctions exist for a reason. If they want to mine crypto, let them. The people suffer? Good. Maybe they’ll stop electing theocrats who think stealing electricity is a fiscal strategy.
Glen Meyer
November 6, 2025 AT 15:58So the mullahs are using our tech to fund missiles while kids in Tehran can’t refrigerate insulin? Classic. This is why we can’t have nice things. They’re not victims-they’re villains with power outages.
Christopher Evans
November 8, 2025 AT 09:24While the moral implications are deeply troubling, it is also important to acknowledge the structural constraints imposed by international sanctions. The Iranian government faces a grim calculus: either permit mining to sustain foreign exchange access or risk economic collapse. The human cost is undeniable, but the root cause lies in geopolitical isolation, not merely the existence of crypto mining.
Ryan McCarthy
November 10, 2025 AT 00:57It’s heartbreaking to see how ordinary people pay the price for decisions made by those in power. But maybe this can be a wake-up call-not just for Iran, but for the global crypto community. If we’re going to mine digital currency, shouldn’t we also care about the human cost behind the hash rate? Let’s push for ethical mining standards-even in places where the rules are broken.
Abelard Rocker
November 10, 2025 AT 23:01Imagine if you could turn your neighbor’s AC into a Bitcoin factory while they’re fanning themselves with a newspaper in 110-degree heat-that’s Iran’s economy in a nutshell. The IRGC isn’t running mining farms, they’re running a dystopian theme park called ‘Suffering as a Service.’ And guess who’s got the VIP pass? The same guys who think ‘economic terrorism’ is a buzzword, not a diagnosis. This isn’t capitalism-it’s feudalism with GPUs. And the peasants? They’re not even paid in wheat anymore. They’re paid in darkness.
andrew seeby
November 12, 2025 AT 15:48bro the grid is trash anyway lmao why are we surprised? also bitcoin price went up so the rigs lit up like christmas lights 😅 maybe they should just make a solar farm for the people and let the miners use the grid at night??
Pranjali Dattatraya Upadhye
November 12, 2025 AT 23:26This is so tragic, and yet… it’s also a reflection of how deeply broken the global financial system is. If Iran has to resort to mining Bitcoin just to buy insulin, then the real crime isn’t the miners-it’s the sanctions that leave no other path. Maybe instead of blaming the people who are just trying to survive, we should be asking why the world refuses to let them breathe. Let’s not punish the victims for the sins of the powerful.
Kyung-Ran Koh
November 14, 2025 AT 12:14It’s critical to distinguish between policy and consequence. The Iranian government’s decision to subsidize mining is a deliberate, calculated choice to prioritize foreign currency over citizen welfare. This is not a side effect-it’s the objective. And while sanctions are unjust, they do not absolve the regime of its moral responsibility. Citizens deserve reliable electricity-not a rigged system where the military profits while children study by candlelight.
Missy Simpson
November 16, 2025 AT 02:44It’s so sad but also kinda wild that crypto is the only thing keeping Iran’s economy from collapsing? 😔 I hope someone finds a way to help the people without hurting the system… maybe decentralized solar grids? 💡🌍
Tara R
November 16, 2025 AT 11:12It’s amusing how people act shocked that a theocracy would exploit its citizens for profit. This isn’t a crisis-it’s a feature. The real question is why anyone thought Iran would be any different.
Matthew Gonzalez
November 17, 2025 AT 18:19What’s the difference between a state that steals your power and a state that steals your dignity? In Iran, they’re the same thing. Mining isn’t the problem-it’s the symptom. The disease is a system that values control over compassion, and profit over people. We don’t need more data. We need more humanity.
Michelle Stockman
November 19, 2025 AT 15:49Wow. A country so desperate it turns its citizens into candles so its generals can buy missiles. Truly inspiring. What’s next? Selling children’s toys for Bitcoin?