Miners Migrate To Mongolia In Search Of Cheap Electricity

The falling profitability of mining business forces owners to look for new territories, where two important criteria are taken into account: cheap electricity and cold weather. It became known that currently, companies which are engaged in mining started paying attention to Mongolia. This country has all the chances to become the next center of cryptocurrency mining. According to Nikkei, the country has favorable opportunities for running a crypto-business, with electricity tariffs in Mongolia being much lower than in Japan and neighboring China. Mining companies which are already operating in this area, report about high cryptocurrency profits.

The decline in cryptocurrency prices in 2018 was no good for miners, and a lot of large companies had to stop their activities. However, despite the ongoing market decline, the Japanese company Ginco is not discouraged to follow such examples. Yuma FURUBAYASHI, CEO of Ginco Mongol, is confident in the prospects of mining in Mongolia: “The business environment is increasingly harsh, but we can still produce a profit”.

Ginco, based in Tokyo, has opened a representative office in Ulaanbaatar, the capital of Mongolia. Currently, the company supports 600 mining devices, and this year plans to increase the capacity up to 1600 units. It is quite possible to observe the competing companies transporting their mining equipment to this Asian country.

Image courtesy of Travel & Leisure