Mining companies leave Kazakhstan due to lack of electricity – Bits Media

The founder of the Xive mining company Didar Bekbau said, that cryptocurrency mining enterprises in Southern Kazakhstan are moving capacity to Russia and the USA due to a lack of electricity.

Kazakhstan is actively fighting energy shortages, caused by the influx miners from China. This was especially reflected in the southern part of the country, where there is a shortage of powerful power plants, and the national grid cannot reliably transmit electricity from the energy-rich northern region.

Founder of the mining company Xive Didar Bekbau (Didar Bekbau) told, that the company planned to launch a mining center on 2 500 devices in Southern Kazakhstan, But obvious, that cryptocurrency mining in the region is no longer possible.

“Other mining companies in the south of Kazakhstan are looking for hosting sites to place equipment, but there are no options left in the country. Some have moved their facilities to Russia and the USA.", - Beckbau said.

Xive and Enegix faced power shortages after, as in September, Kazakhstan Electric Network Management Company (KEGOC) carried out rationing of electricity in the country. As a result, Xive decided to close its business in Kazakhstan.

Earlier this month, the country's president ordered the development of a law on cryptocurrency mining as soon as possible, to stop the activities of unlicensed mining companies, consuming up to 1 200 MW of electricity.

The Ministry of Energy of Kazakhstan reported, that it will not restrict the activities of “white” mining farms, however, will take action against miners, working in the country illegally.