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The Iceland poppy is native to the Altai Mountains, eastern Siberia, Kazakhstan, Mongolia, northwestern Canada and Alaska.
It grows on rubble, mountain meadows and moraine from glaciers at altitudes between 300 and 2500 meters. This species grows on acidic or neutral to alkaline soils.
At moderate temperatures it can endure sunny, otherwise semi-shady, dry to moist places, but they must not be constantly wet.