crypto miners

Bit Mining to Deploy Another 2,500 Bitcoin Miners in Kazakhstan

29/07/2021 by Idelto Editor

Bit Mining is going to expand its operations in Central Asia with the purchase of 2,500 crypto mining machines slated for deployment in Kazakhstan. The new devices are expected to increase the Chinese company’s total hashrate capacity by an estimated 165 petahashes per second.

Bit Mining Buys New Cryptocurrency Miners for Data Centers in Kazakhstan

Shenzhen-based Bit Mining Ltd. announced Wednesday it has secured a purchase agreement for the acquisition of 2,500 new bitcoin mining machines. The price tag of the deal is approximately $6.6 million, the crypto mining firm detailed in a press release.

Following the delivery, which is scheduled for next week, the company intends to ship the coin minting rigs to Kazakhstan. Once deployed, the mining devices are expected to increase Bit Mining’s “theoretical maximum total hash rate capacity by approximately 165 petahashes per second (PH/s).”

Bit Mining said it’s constantly monitoring the market for cryptocurrency mining hardware and will consider “cost-efficient” acquisitions “on an opportunistic basis.” It emphasized:

Looking forward, the company is prepared to further expand the scale of its business and increase its theoretical maximum total hash rate capacity, in order to strengthen its position as a leading cryptocurrency mining enterprise.

Chinese Mining Company Continues Migration to Central Asia

The crypto firm further noted that the expansion of its bitcoin mining machine fleet goes on in parallel with the implementation of its overseas development strategy which is largely focused on Central Asia. Bit Mining has already installed 3,819 rigs with a total hashrate capacity of 172 PH/s in data centers in Kazakhstan. Another 4,033 bitcoin miners with a hashrate capacity of 121 PH/s have been shipped to the country and are currently awaiting deployment.

According to the announcement published by Prnewswire, the company has also launched ethereum (ETH) mining operations outside of mainland China that have a hashrate capacity of 86.4 gigahashes per second (GH/s). “An additional hash rate capacity of 4,713.6 GH/s is expected to be deployed by the end of October 2021,” Bit Mining added.

In May, the Chinese company revealed plans to build and operate a 100 MW crypto-mining data center in Kazakhstan, a project that will be implemented in partnership with two local companies. In June, Bit Mining began moving 3,000 bitcoin mining machines to Kazakhstan amid an ongoing government crackdown on crypto mining in the People’s Republic of China.

Do you expect more crypto mining companies from China to follow Bit Mining’s lead and relocate to Central Asia?

Bitmain to Host Miners in 180-Megawatt Data Center in Kazakhstan

24/07/2021 by Idelto Editor

Bitmain to Host Miners in 180MW Data Center in Kazakhstan

Crypto mining hardware manufacturer Bitmain has partnered with Enegix to host Antminer S19 Pro devices in one of the world’s largest data centers. The facility located in Kazakhstan is designed to accommodate more than 50,000 mining rigs.

Bitmain to Work With Mining Facility Operator Enegix

Leading mining equipment producer Bitmain has announced a partnership with Enegix. As part of the agreement, the ASIC giant will host Antminer S19 Pro miners in a 180MW facility operated by Enegix in Kazakhstan, which is one of the largest in the world.

Enegix focuses its business efforts on designing, building, and operating data centers since 2017, a press release published by Bitmain details. The one in question was commissioned in late 2020 and is the company’s third such facility. Its total capacity exceeds 50,000 current-generation mining rigs.

Commenting on the new project, Bitmain Mining Division Vice President Du Shisheng noted that his company is pleased to have a solid strategic partner in the region and stated:

Enegix is a clear leader in design and operation of large-scale mining facilities. Their success over the years has put them on the map for all major bitcoin miners.

“Enegix is pleased to be able to offer Bitmain the remaining capacity of its 180MW facility. This step from the leading manufacturer of ASIC miners is very important for our company, as it shows trust in our operation,” Enegix CEO Yerbolsyn Sarsenov added. He expressed hopes that the cooperation will be beneficial for both companies and continue into the future.

Enegix to Build More Mining Centers in Kazakhstan

Enegix plans to further expand its activities in Kazakhstan in response to surging demand from cryptocurrency miners. The company wants to develop additional mining infrastructure and is working on design projects for new mining facilities in the Central Asian republic. Enegix is also negotiating agreements for the purchase of electricity to power the crypto farms.

Amid an ongoing crackdown, Chinese companies involved in cryptocurrency mining have been migrating to friendlier jurisdictions in the region, most notably Kazakhstan. In May, Shenzhen-based Bit Mining announced it’s planning to build a 100 MW mining data center there, in partnership with two local companies.

According to a study by the University of Cambridge, the country has seen a six-fold increase in its share in global bitcoin extraction in less than two years. It now ranks third in the world by crypto mining volume. However, the government in Nur-Sultan decided to introduce a surcharge for electricity used by mining entities. The local crypto industry expressed concerns the move could turn away potential investors.

Do you think Kazakhstan will remain an attractive destination for cryptocurrency miners? Share your thoughts in the comments section below.

Abkhazia Holds Talks With Russia to Ensure Electricity Supply for Crypto Miners

24/07/2021 by Idelto Editor

The government of Abkhazia is negotiating with Russia to solve a problem that led to a ban on cryptocurrency mining. The partially recognized republic in the South Caucasus is now planning to legalize the industry and source sufficient power supplies from its energy-rich northern neighbor.

Abkhazia Wants to Create Conditions for Cryptocurrency Mining

The autonomous Republic of Abkhazia in northwestern Georgia is holding talks with the Russian Federation on the supply of electricity to satisfy its needs. Those of the energy-hungry crypto mining sector are also covered by the negotiations, Forklog reported.

Despite a temporary mining ban introduced in 2018, the activity allegedly took the country to the brink of an energy crisis last year, forcing regulators to extend the restrictions to March 2022. Fines and criminal liability were introduced for illegal use of electrical power to mint digital currencies and a number of mining operations were shut down.

Officials in Sokhumi are now trying to create conditions for cryptocurrency miners to operate legally, Abkhazia’s Minister of Economy and Deputy Prime Minister Christina Ozgan revealed at a press conference this week. Quoted by Apsnypress, she said that authorities plan to organize the supply of electricity from Russia and set up facilities where miners can install their equipment.

Russian representatives have already visited the republic to clarify the technical side of the deal and the Abkhaz government has received a draft agreement, Ozgan told reporters. She emphasized that electricity shortages were the main reason for the crypto mining crackdown.

According to estimates by the local power distribution company, Chernomorenergo, the total capacity of the mining equipment operating in the republic was at least 40 to 45 megawatts in 2020. When fully loaded, the hardware can burn around 400 million kilowatt hours of electricity annually, which forms a large portion of the country’s deficit.

Christina Ozgan also announced that more than 66,000 mining devices had been delivered to Abkhazia before the imports of mining equipment were halted. She added that authorities are now going to approve a new electricity tariff for cryptocurrency miners and encourage them to pay their bills.

Abkhazia wants crypto mining farms to be legally connected to the electrical grid. The government also intends to regulate the interaction between mining entities and the state-run power utility.

Do you think Abkhazia can turn into a friendly destination for cryptocurrency miners? Tell us in the comments section below.

‘We Want You,’ Pro-Bitcoin Senator Cynthia Lummis Invites Crypto Miners to Wyoming

04/07/2021 by Idelto Editor

U.S. lawmaker and bitcoin advocate Cynthia Lummis has indicated that cryptocurrency miners are welcome in Wyoming. In a recent interview, the senator defended bitcoin’s carbon footprint and later invited miners to her home state on social media.

Crypto Mining Adapted to Non-Carbon Emitting Energy

With the ongoing crackdown on cryptocurrency mining in China, companies in the business of coin minting have been actively looking for friendlier jurisdictions to relocate their operations. Some perspective destinations have emerged in the U.S., with Texas and Florida now being among the prominent examples. Both states can offer crypto miners access to affordable energy.

Wyoming, which has maintained a positive attitude towards cryptocurrencies for some time, can easily become the next bitcoin mining hotspot. Wyoming Sen. Cynthia Lummis, a well-known supporter of Bitcoin, recently took to Twitter to welcome crypto miners to the state urging them to reach out.

PS – If you are in the #Bitcoin mining space, please reach out. We WANT you in Wyoming. https://t.co/OUPAEYTXTG

— Cynthia Lummis (@CynthiaMLummis) July 3, 2021

Lummis tweeted her call on Saturday posting an excerpt of her interview from the CNBC Financial Advisor Summit in which she defended Bitcoin’s environmental record. The senator referred to research conducted at the University of Cambridge, according to which bitcoin mining uses about 40% renewable energy while the indicator stands at only 12% in the non-bitcoin mining economy. She emphasized:

Bitcoin mining is already more environmentally adapted to non-carbon emitting energy sources.

Bitcoin Mining Is Not an Energy Bad Guy, Says Cynthia Lummis

The Wyoming representative in the U.S. Senate also turned attention to the “innovation that’s happening behind the scenes” in the crypto mining industry, providing an example with her own energy-rich state. Wyoming is a producer of oil and gas and when a new well is drilled, initially it’s not connected to a pipeline, Lummis explained. Bitcoin miners are helping to utilize the gas that would otherwise be vented into the atmosphere with mobile mining platforms that can be installed and operated close to the source.

“I would say – don’t judge bitcoin mining as an energy bad guy. There are a lot of things going on to prove otherwise,” the lawmaker concluded. Cynthia Lummis also noted that cryptocurrency mining is helping the drilling industry in a way that keeps carbon out of the air while using it to produce another product in the form of bitcoin.

The race to attract crypto miners is on in the U.S. with Miami Mayor Francis Suarez recently giving his best to entice mining companies that are leaving China. “Hey, we want you to be here,” Suarez addressed them in another interview with CNBC, highlighting that his region relies on nuclear power which is a source of clean and cheap electrical energy.

Do you expect many crypto miners from China to relocate to the United States? Share your thoughts on the subject in the comments section below.

New Bill to Ban Crypto Payments in Iran, Support Mining and Regulate Exchange

03/07/2021 by Idelto Editor

Urged by the growing popularity of cryptocurrencies, Iranian lawmakers have prepared new legislation to introduce comprehensive rules for the expanding industry. While the bill effectively bans crypto payments in the country, it aims to support cryptocurrency mining and regulate the exchange market.

Draft Law Prohibits Crypto Payments in Islamic Republic

Members of the Islamic Consultative Assembly, the Iranian parliament, now have a plan to put the crypto space in order. The new bill, drafted under the supervision of the parliamentary Economic Commission, allocates responsibilities among regulators and answers some outstanding questions to determine the future of cryptocurrencies in Iran.

If adopted in its current version, the draft law would ban the use of cryptocurrencies as a means of payment in the Islamic Republic, Tasnim News Agency reported. Besides crypto payments, other domestic transactions with cryptocurrency would also be prohibited. Iranian lawmakers have provided for only one exception and that’s reserved for a state-issued digital currency (CBDC).

The Central Bank of Iran (CBI) is to take charge of crypto market oversight within three months of the bill’s adoption. The monetary institution will also regulate the exchange of cryptocurrencies in the country. Iranian authorities have tried to curb crypto trading in the past few months but the CBI authorized domestic banks and exchangers to utilize cryptocurrency mined inside Iran in payments for imports.

Iranian Regulations to Support Cryptocurrency Mining

The legislation presented in the Iranian Majlis has also been described as a plan to foster “support for cryptocurrency mining and organizing the domestic market for exchanges,” Tasnim noted. Unlike digital coin trading, crypto mining has been a legal activity for licensed Iranian companies for around two years now.

According to the draft, Iranian cryptocurrency miners will in the future be allowed to participate in projects to construct and operate new power plants. In order to do that, authorized mining companies will need to acquire special permits from the Ministry of Energy, the report detailed. Miners will even be able to sell surplus energy generated by their stations.

Iran’s Ministry of Industry, Mines and Trade will exert regulatory control over the crypto mining industry, the bill postulates. The department will continue to be responsible for issuing the licenses needed to set up and run new cryptocurrency mining farms.

The lack of comprehensive regulations and various restrictions have impeded the development of Iran’s crypto industry in the past few months. In May, the Majlis leadership called on financial regulators to adopt a cautious approach to dealing with the complicated matter. In June, the country’s Economy and Finance Minister Farhad Dejpasand stated that the government cannot interfere with the development of crypto technologies for too long.

What’s your opinion about the proposed crypto regulations in Iran? Let us know in the comments section below.