Uzbekistan is one of the leading countries with cheapest electricity in asia planning to become a hub for bitcoin mining. The country has taken the route to legal bitcoin and other cryptocurrencies as it presents a presidential decree to regulate the electronic money by September.
One of leading countries with cheapest electricity in central asia
Uzbekistan is going to become a cryptocurrency mining hub given the country’s cheap electricity. According to a recent study, Uzbekistan got the third place in being the cheapest place to mine bitcoin. It costs about $1,790 to mine a single bitcoin in this country in comparison to Venezuela and Trinidad where the mining expenses amount to $530 and $1,190 respectively.
This advantage could help in increasing the importance of Uzbekistan in the cryptocurrency world. Among the Central Asian countries, Uzbekistan is the largest electricity producer in the region. The combination of having one of the lowest crypto mining expenses in the world and being a leading producer of electricity certainly makes it a hotbed for crypto mining.
Now, the change in the presidential decree also shows a positive attitude of officials towards cryptocurrencies like bitcoin.
Uzbekistan drafting a bill to legal bitcoin and other cryptocurrencies
It hasn’t been long since the representatives of the Central Bank of the Republic of Uzbekistan referred to digital coins as an instrument for terrorism financing.
Recently, the Prime Minister, Abdulla Aripov supported the use of blockchain technologies. Now, a decree has been signed by the President Shavkat Mirziyoyev that asks the Uzbekistan institutions to draft a bill to legally regulate electronic money or cryptocurrencies by September 1.
The Finance Ministry, Information Technologies and Communications Ministry, Economic Ministry, The Central Bank among other governmental agencies have been ordered to create their proposals for the bill.
In addition, Mirziyoyev has also ordered the active development and promotion of contactless payments by using international payment systems such as Visa, Mastercard, and PayPal for which a set of measures will be taken by June.
Given the country’s energy production sector and its government’s positive step towards drafting a bill to legalize bitcoin and other cryptocurrencies, it won’t be a surprise if Uzbekistan becomes the new hot place for cryptocurrency mining soon.
What are your views on Uzbekistan’s move to make legal bitcoin and cryptocurrencies and adoption of blockchain technology? Do you think it will reduce bitcoin mining cost and we’ll soon see a surge of crypto miners here? Let us know in the comment section below!
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I am an associate content producer for the news section of Coingape. I have previously worked as a freelancer for numerous sites and have covered a dynamic range of topics from sports, finance to economics and politics.