Corporations invested more than $6 billion in crypto industry in the last 10 months DeFi-platform Velodrome accuses crypto sleuth of stealing $350k S&P Global dropped Coinbase rating to a speculative level BitGo will seek $100 million for Galaxy Digital refusal to acquire crypto platform Brazilian crypto exchange blocked customer accounts and fired staff Celsius Network’s debts is more his assets for $2,8 billion Monero underwent a successful hard fork First acquisition agreement crypto project for $1,2 billion terminated due financial statements OpenSea allowed reselling stolen NFTs

Kazakhstan fails against an influx of Chinese miners

Kazakhstan fails against an influx of Chinese miners

After China banned mining, all mining companies moved their farms to more loyal jurisdictions. The main migration occurred to such countries as the U.S., Canada, and Kazakhstan. Many miners considered Kazakhstan as the best option due to its proximity to China and cheap electricity.

However, later on, Kazakhstan proved to be unprepared for such a large influx of new kilowatt-hour consumers and was not up to meeting all of their needs. Due to the mining farms, the country's electricity consumption has increased by 7% in a year. Things went so far that some regions of Kazakhstan faced a shortage of electricity. Electricity supply for industry and municipal needs became insufficient. The situation was aggravated by the fact that a number of mining companies refused to get officially registered, opting to work illegally, thereby minimizing their tax deductions.

As a result, the response of the Kazakh authorities was not long in coming. In June, authorities passed a law on introducing additional fees for mining, coming into force at the beginning of 2022. Then the Ministry of Energy suggested limiting the amount of electricity consumption by mining data centers in case of its shortage. Today, there is a discussion about compiling a registry of mining farms. The situation with mining in Kazakhstan is only getting hairy.

0
Is there an error in the article?
To report