Bitcoin mining in Iran has reportedly generated around $1 billion in revenue in 2021, according to US Senators Elizabeth Warren and Angus King. The senators have raised concerns about Iran using cryptocurrency to bypass sanctions and finance terrorist groups.
In a letter sent on May 1, Senators Warren and King urged the Biden administration to address the potential national security risks posed by Iran’s Bitcoin mining activities. They specifically requested details on the steps being taken to counter the issue.
The senators highlighted that Iran may be funding terrorism through cryptocurrency, as crypto miners in the country are required to sell their digital assets to the Iranian central bank. This enables the Iranian government to evade sanctions and poses a direct threat to national security, according to the lawmakers.
Furthermore, the letter pointed out that Iran’s military has allegedly used cryptocurrency to support terrorist organizations like Hezbollah, which has been linked to attacks against US service members. The senators emphasized the urgency of taking action to prevent Iran from using crypto to finance further attacks.
Senator Elizabeth Warren, a prominent critic of cryptocurrency, has previously raised concerns about its potential misuse for criminal activities. She has even proposed legislation to regulate and restrict the use of crypto in the US.
Overall, the concerns raised by Senators Warren and King underscore the need for vigilance in monitoring and regulating cryptocurrency activities, particularly in regions where it may be exploited for illicit purposes.