Crypto mining facilities in Kazakhstan will have to consume less than 1MW over two years.
As the Chinese government started to shut down crypto mining in May, firms began to move their equipment abroad. Kazakhstan has been selected from the majority of these firms to relocate their activity.
Kazakhstan is currently the second-largest contributor to the virtual currency mining industry. Because of the power consumption increase, the Ministry of Energy is planning to limit it. Magzum Maratuly Myrzagaliev has signed a new draft to curb power shortages.
“When agreeing and issuing technical conditions for connecting electrical installations of consumers engaged in digital mining activities, limit the capacity to 1 (one) megawatt, for a period of 2 (two) years. At the same time, the total power for electrical installations of consumers engaged in digital mining activities should not exceed 100 (one hundred) megawatts in the Republic of Kazakhstan.”
Back in July, President Kassym-Jomart Tokayev passed a new bill that required crypto miners to pay an additional energy fee. 1 Kazakhstan tenge ($0.00233) per kilowatt-hour utilized by virtual currency miners will be paid by these firms. The law will take effect in January 2022.