Central authorities claim the situation is normalizing across Kazakhstan, hit by anti-government protests in the first week of the year. The country’s sprawling cryptocurrency mining industry has faced internet outages during civil unrest amid power shortages, and now there is hope that the country remains an attractive place for miners.

President Tokayev controls the country

After days of turmoil, the embattled government of Kazakhstan’s President Kassim-Jomart Tokayev said the country was now stable. According to a released statement, officials informed the head of state at a meeting on Sunday that law enforcement agencies had recaptured all administrative buildings attacked by protesters and that public services were being restored.

Kazakhstan’s troubles began on January 2, when demonstrations against rising prices for natural gas and other fuels took place in the western province of Manggistau, which have become massive. political protest annexed the Central Asian republics. Official sources said there were unconfirmed deaths in the clashes and 5,800 people, including foreigners, were arrested.

Tokayev was quoted as stressing that the security forces will take all necessary measures to fully restore public law and order in the country, according to Russia’s Interfax news agency. The president has ordered the creation of a special government committee to deal with the aftermath of the unrest in the affected areas.

Despite challenges, crypto miners see future in Kazakhstan

Due to the massive exodus caused by the government, Kazakhstan has attracted numerous mining companies with its low capped electricity bills and generally positive attitude towards the crypto industry repression The Bitcoin industry in China has been on an upward trend since May 2021. However, the influx of miners has increased China’s share of the global Bitcoin hash rate by more than 18%, blame The electricity deficit has continued to widen, exceeding 7% in the first three quarters of last year.

According to the Kazakhstan Data Center Industry and Blockchain Association (NABCD), two-thirds of the country’s legal miners have united, and the unrest has not affected areas where official crypto mining companies operate. In a press release provided via Coinselegram, the industry group explained that the recent drop in Bitcoin’s hash rate was caused by a temporary internet outage, insisting that the current situation’s impact on the industry and cryptocurrency prices is short-term. NABCD Chair Alan Dorjiyev commented:

At present, companies and association members are working as usual. For our part, we are working to ensure that corporate social responsibility contributes positively to the lives of residents in the areas where data centers are located.

The NABCD believes: “From a strategic point of view, Kazakhstan will remain one of the most attractive regions for developing cryptocurrency mining.” It ensures that dialogue is now ongoing with relevant government authorities, and announces that the previously imposed restrictions on legal mining entities Electricity supply restrictions have been eased.This message is in a Report It was revealed in December that some mining companies had started moving equipment out of the country due to power outages.

Do you think Kazakhstan will remain a major cryptocurrency mining hotspot? Let us know in the comments section below.

Lubomir Tasev

Lubomir Tassev, a journalist from tech-savvy Eastern Europe, likes Hitchens’ famous quote: “Being a writer is who I am, not what I do.” Beyond crypto, blockchain and fintech, international politics and The economy is two other sources of inspiration.