Kazakhstan — a cryptocurrency mine
Due to the bans introduced in China, Kazakhstan has become a very popular place for cryptocurrency mining. Last year, it became the second most important Bitcoin mining center. This was due to, inter alia, low prices of electricity obtained thanks to coal combustion. And this, in turn, also attracted illegal miners.
The situation caused by this popularity forced the government to change the registration requirements of people and companies related to the mining of cryptocurrencies. This is because miners are blamed for constant problems with electricity supplies.
The Minister of Digital Development in Kazakhstan, Magdat Musin, extended the registration and reporting requirements for these entities. Now, cryptocurrency mining companies will have to provide the government with the name, registration number, contact details, banking details, IP addresses and determine energy needs, investments and estimated number of employees in advance. And that’s not all. Necessary for registration are also documents confirming the possession of excavators, confirmation of the location of the mine and the method of connecting the equipment to the power grid, as well as documents confirming that the people involved in the project are residents of Kazakhstan.
The Kazakh authorities do not want to miss this moment, so they are also trying to introduce new taxes, and the National Bank of Kazakhstan is to explore the possibilities offered by the cryptocurrency.
The Kazakh people want to profit from new technologies, find innovations attractive. The director of the Central Bank of Kazakhstan announced the planned introduction of the project of its own digital currency. The decision as to whether it will actually be introduced will be made at the end of this year.
Meanwhile, legislative work is underway to introduce a tax for companies involved in mining cryptocurrencies, it will be tied to the prices of electricity used for the work of excavators. However, in order for Kazakhstan to be able to earn from taxes, it must provide miners with constant access to energy and the Internet.
