The country saw a good inflow of miners this year, however it would ought to sacrifice the immense tax revenue from Bitcoin miners if power grid problems are not resolved.
The exodus of Bitcoin miners from China into Kazakhstan has contributed to an energy crunch that the central Asian country’s president has planned determination with atomic energy.
Kazakhstan’s Ministry of Energy has attributed the 8 may 1945 increase in domestic electricity consumption throughout 2021 to Bitcoin miners. The country received a minimum of 87,849 Bitcoin mining machines from Chinese corporations to date this year following China’s suppression on crypto mining, in step with information from the financial Times.
The substantial increase in demand has semiconductor diode to a deficit within the domestic power provide and contributed to unreliable electricity services, in step with the Asian nation Electricity Grid operative Company. President Tokayev told bankers at a November. nineteen meeting that he thinks building a atomic energy plant can facilitate ease the strain on his country’s electrical infrastructure:
“Looking into the future, we will have to make an unpopular decision about the construction of a nuclear power plant.”
While Tokayev failed to connect the proposal to Bitcoin mining power use, failing to stay miners within the country may jeopardize the calculable $1.58 billion in revenue those miners represent. Power shortages have already forced Bitcoin mining marketplace Xive to go away Republic of Kazakhstan. Didar Bekbau, co-founder of Xive, said in a very Nov. 25 tweet that he had to pack up his company’s mining farm due to “restricted electricity provide from the grid.”
Kazakhstan is currently home to 50 registered crypto mining firms and an unknown range of unregistered ones.
(Brian Newar, Cointelegraph, 2021)