Kazakhstan Stabilizes, Government Says As Crypto Miners Look To The Future In The Country – Mining Bitcoin News

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The situation in Kazakhstan, affected by anti-government protests in the first week of the year, is normalizing, central authorities say. The country’s huge crypto mining industry, which has faced an internet outage during civil unrest in addition to power shortages, is now hoping the country will remain an attractive place for miners nonetheless.

President Tokayev has the nation under control

After days of unrest, the besieged administration of Kazakh President Kassym-Jomart Tokayev says the country is now stabilized. The police have taken over all the administrative buildings which were attacked by the demonstrators and the municipal services are being restored, the head of state informed during a meeting on Sunday, according to a statement released.

The unrest in Kazakhstan began on January 2 with protests in the western province of Mangistau against rising prices for natural gas and other fuels that turned into mass political protests encompassing the Central Asian Republic. An unconfirmed number of people died in the clashes and 5,800 people, including foreign nationals, were arrested, official sources said.

Tokayev was quoted as stressing that the security forces will implement all necessary measures to fully restore law and order in the country, Russian news agency Interfax reported. The president issued a decree establishing a special government commission to deal with the consequences of the riots in the affected regions.

Despite the challenges, crypto miners see the future in Kazakhstan

With its low, capped electricity tariffs and generally positive attitude towards the crypto industry, Kazakhstan has attracted many mining companies amid the massive exodus caused by the government crackdown on the industry in China since May 2021. However, the influx of miners, which increased the share of the global bitcoin hashrate by more than 18%, has been blamed for a growing electricity deficit, exceeding 7% in the first three quarters of last year. .

According to the Data Center Industry and Blockchain Association of Kazakhstan (NABCD), which brings together two-thirds of the country’s legal minors, the riots have not affected regions where official crypto-mining companies operate. The recent drop in bitcoin hashrate was caused by temporary internet outages, the industry organization explained in a press release provided by Coinstelegram, insisting that the effect of the current situation on the industry and crypto prices is a short term effect. NABCD Chairman Alan Dorjiyev said:

At present, the companies, members of the Association, operate as usual. For our part, we ensure that corporate social responsibility contributes positively to the life of the inhabitants of the regions where the data centers are located.

“From a strategic perspective, Kazakhstan will remain one of the most attractive areas for the development of cryptocurrency mining,” said the NABCD. He assures that he now maintains dialogue with the relevant government authorities and announced that previously imposed restrictions on electricity supply have been relaxed for legal mining entities. The news comes after a report released in December revealed that some mining companies have started moving equipment out of the country due to power outages.

Tags in this story association, Bitcoin, Blockchain, Crypto, crypto miners, crypto mining, Cryptocurrencies, Cryptocurrency, Data centers, deficit, demonstrations, Electricity, Energy, fuels, Hashrate, Internet, Kazakhstan, Miners, mining, Blackouts, electricity, President, Prices, Demonstrations, Riots, shortages, situation, unrest

Do you expect Kazakhstan to remain a major crypto-mining hotspot? Tell us in the comments section below.

Lubomir Tassev

Lubomir Tassev is a tech-savvy Eastern European journalist who likes Hitchens’ quote: “Being a writer is what I am, rather than what I do. Besides crypto, blockchain, and fintech, international politics and economics are two other sources of inspiration.

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