Power supply instability and political risks forced one of the leading public Bitcoin mining companies, BIT Mining, to stop building a data center in Kazakhstan.
BIT Mining, which owns the mining pool BTC.com, said the main reasons for this decision were the introduction of restrictions on electricity supply in the country, as well as government plans to increase electricity tariffs and taxes on mining equipment.
Mining equipment that was previously deployed in other data centers in Kazakhstan will continue to work. According to unconfirmed data for 2021, the hashing power of BIT Mining in Kazakhstan amounted to 292.7 Ph/s. At the same time, the company owns assets in the amount of $55.1 million.
Earlier this month, during the discussion of the draft law “On Digital Assets in the Republic of Kazakhstan,” Vice Minister of Finance Marat Sultangaziyev proposed to increase electricity prices for miners by 335%, as well as introduce a tax on mining equipment and remove the VAT exemption .
Source: Bits
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