In September, Beijing banned all cryptocurrency transactions and mining. China stated that virtual currencies would increase illegal and criminal activities and pose risks to the economic and financial order.
The crackdown has forced some of the world’s largest Bitcoin mining companies to find new bases that are regulatory-friendly. Another component was getting cheap electricity for running thousands of computers around the clock.
The largest companies packaged and moved to the United States—especially Texas—Malaysia, Russia, and Kazakhstan.
However, for many small miners who are eager to cut in and escape quickly for fear of incurring the anger of the Chinese authoritarian government, the top priority is to recover some money from their now useless computers.
This creates opportunities for entrepreneurs such as Pongsakorn. Pongsakorn is ready to ship unnecessary equipment (mainly Bitmain Antminer SJ19 Pro) from Shenzhen to Thailand.
Pongsakorn’s drilling rigs promoted the cottage industry of miners across Thailand, earning 30-40 US dollars per day from each treadmill.
Their team includes those who seek a stable income during the pandemic and investors who believe in the future of digital assets.
Many more prominent Thai investors are paying close attention to neighboring Laos, tacitly embracing the rise of cryptocurrency.
According to a 2020 study by Internet and social media analysts We Are Social, and Hootsuite, this poor, officially communist country with a population of 7.2 million has an Internet penetration rate of only 43%.
Nevertheless, its advantage is an abundance of cheap electricity generated by dozens of mega-dams.
Iran Orders Ban On Crypto Mining To Prevent Power Outages In Winter
Mostafa Rajabi Mashhadi, director of the state-run Iranian power grid management company, stated that Iran had ordered the closure of authorized cryptocurrency mining centers for the second time this year to relieve the pressure on the country’s power plants.
Rajabi Mashhadi said that the ban would last until March 6th. According to him, this crypto-mining ban will release 209 megawatts of electricity for consumption in the household sector.
He added that the authorities are also cracking down on illegal mining by individuals and large industrial units.
These unlicensed operators account for the largest share of cryptocurrency mining in the country. They consume more than 600 megawatts of electricity.
Other fuel-saving measures include turning off street lights in some areas and regulating office electricity consumption. Rajabi Mashhadi stated that the government expects a 60% increase in power generation during the summer.
Iran banned crypto mining earlier this year due to a series of power outages in major cities. The ban was partly due to a surge in energy-intensive processes.
Most cryptocurrency mining has been concentrated in China for a long time. However, this year’s nationwide ban on sending operators to other countries, especially places that provide cheap electricity, has changed this situation. This, in turn, put pressure on the power grid, causing countries from Iceland to Kazakhstan to restrict the industry.
According to the Iranian National News Agency, the daily natural gas demand in Iran’s household sector soared for the first time to an unprecedented 570 million cubic meters per day.
Head Of SEBI Warns Indian Mutual Funds Not To Invest In Cryptocurrency Products
India’s regulatory environment for cryptocurrency is currently unclear. However, the country’s cryptocurrency popularity rate has grown exponentially.
At a press conference on Tuesday, Tyagi advised companies not to invest in funds related to crypto-assets until the policy and regulatory framework are clear.
Although the regulatory environment for cryptocurrencies in India is currently unclear, the country’s popularity has grown exponentially. It is unclear whether crypto investments have any tax liability in the country.
Tyagi made these remarks after a recent incident involving the asset management company (AMC) Invesco Mutual Fund. Although Sebi was approved, it postponed its blockchain fund last month due to legislative uncertainty.
During the recent winter meeting, the parliament discussed discussions on cryptocurrencies. After the Parliamentary Standing Committee on Finance held a meeting with cryptocurrency stakeholders, the negotiations gained further momentum to identify possible opportunities and challenges in crypto financing and investment.
The Indian government has officially planned to introduce the cryptocurrency and official digital currency regulation bill of 2021 for parliamentary debate during this winter session. However, the bill did not appear to be considered by the Indian House of Commons at the end of the winter session.
At the same time, Indian Prime Minister Narendra Modi has become increasingly outspoken about cryptocurrencies in 2021. Modi urged democracies to cooperate to make the most of cryptocurrency and blockchain technology in the Sydney Dialogue. He also warned against using them maliciously.
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