Crypto mining causes problems again
Some countries are simply not prepared for the extra energy needed to enable large-scale crypto mining.
Earlier this year, it was announced that China would no longer allow cryptocurrency miners to operate in the country. As a result, a huge shift took place. After all, a significant part of the miners were active in the Asian country. There is now a bit more spread, but that also brings problems.
A large part of the miners are located in the United States, but also in Kazakhstan. And in the latter country, there are problems related to crypto mining. The energy network in the country is overloaded by the huge influx of miners. Financial Times reports about this. A confrontation with a shortage of available electricity threatens the country. Energy use in the country has increased by about eight percent since the beginning of 2021. Normally that is an increase of one or two percent per year.
Figures from the University of Cambridge show that Kazakhstan is the number two in the world of crypto mining. One is the United States, as indicated earlier. About 87,849 miners have left China for Kazakhstan. The government faces a challenge in dealing with this new problem of energy shortages. Is there a threat of another ban from mining?
