For a growing number of people, cryptocurrency is being viewed as the long-term replacement for fiat currencies. It’s firmly at the heart of the fintech landscape, turbocharging the next wave of Web 3.0 innovations worldwide.
One aspect that’s driving this crypto revolution across multiple assets is the concept of crypto mining. Behind every Bitcoin purchase or sale, or transactions with the recently rising Ethereum (ETH) asset, lies an interconnected web of mining operations, most of which are now located in areas that have embraced mining infrastructure.
With advanced infrastructure, and rock-bottom energy rates, mining hubs today have the ability to power and shape the blockchain economy. Regulatory certainty is a major benefit too, with mining being one of several crypto license options companies can consider, enabling them to perform the mining of cryptocurrencies legally.
There are four regions in particular that have established themselves as crypto mining powerhouses worldwide. We’ll explore their progress to date below.
The US
America has taken big strides in the world of crypto mining in recent years. The states of Texas and Georgia have become especially influential in American crypto mining. Texas now offers miners access to plentiful, low-cost energy. The Lone Star State benefits from a deregulated electricity grid, with surplus renewables also capable of being funnelled into mining crypto.
The Electric Reliability Council of Texas (ERCOT) is also working side-by-side with miners to ensure grid demand is balanced and in tune. Nearby Georgia also benefits from a pro-business environment and reduced energy costs, with the likes of Marathon Digital and Riot Platforms operational across both states.
Canada
The Canadian provinces of Quebec and Alberta have become breeding grounds for crypto mining services. Like Texas and Georgia, these regions also have beneficial energy supplies, along with supportive regulatory frameworks.
Canada’s government of the day permits crypto mining as a legalized activity, while provincial regulators are tasked with licensing and monitoring its wider environmental impact. Bitfarms and Hive Blockchain Technologies are two of the most prominent crypto mining companies in Canada right now.
Kazakhstan
Once China took the bold decision to clamp down on cryptocurrencies back in 2021, Kazakhstan took on the mantle of becoming Asia’s leading crypto mining hub. With its industrial base borne out of its links to the former Soviet Union, coupled with its rock-bottom energy rates, Kazakhstan miners have been able to thrive.
In fact, many local energy companies have joined forces with crypto miners to develop dedicated mining centers. Within a matter of months, this rapid growth placed undue pressure on the Kazakh energy grid, but licensing frameworks have helped to cap energy usage and enforce operators to meet their environmental obligations.
Russia
In the depths of Siberia, Russia is also fast emerging as a major cryptocurrency mining hub. Krasnoyarsk and Irkutsk are two areas especially popular for mining, with the ice-cold temperatures ripe for cooling mining equipment.
There’s also a plethora of hydroelectricity that is renewable and inexpensive for crypto miners to lean on. BitRiver is the most notable crypto mining firm in Russia.
From Central Asia to North America, it’s clear to see that the crypto mining industry is now a global marketplace. As more governments grapple with the legalities of digital assets, this quartet of markets is becoming beacons for regulating and operating crypto mining in a responsible fashion.
