Argentina faced a 4-fold increase in cryptocurrency mining costs

The mining of digital assets causes problems to the infrastructure of the concession area to which miners are connected

05.02.2022 - 10:30

206

1 min

What’s new? Argentina’s Ministry of Economy’s Energy Secretary has issued resolution 40/2022, which cancels government subsidies for power consumption for miners. As a result of the appearance of a large number of miners who migrated from China, the country’s electricity costs have quadrupled.

Resolution 40/2022

What does the resolution say? According to the resolution, miners consume a large amount of energy on a daily and seasonal basis. As a result, cryptocurrency mining creates problems for the infrastructure of the concession area to which they are connected. The authorities believe that miners should pay for the cost of energy at other tariffs other than tariffs for the population.

What had happened before? The Irkutsk region is still struggling with the growing energy consumption of bitcoin mining. The region’s authorities are trying to maintain energy stability, but the law enforcement officers are identifying more and more illegal mining farms, whose owners either do not pay for electricity or pay at tariffs for the population. In Russia and Belarus, the government has proposed to introduce special electricity tariffs for cryptocurrency miners.

Author: