China last year cryptocurrency miningIts sweeping ban on what has helped scatter Bitcoin’s hashrate around the world. However, it also raised concerns about a growing energy crisis in some of these countries, especially with the onset of the winter season.
Following the trend of many other countries Kosovo government has banned crypto mining in the country in an attempt to solve energy shortage problems.
Mining vs energy scarcity
According to local media reports, Kosovo Minister of Economy Artane Rizvanolli, on the recommendation of the Technical Committee for Emergency Measures for Energy Supply, to crypto miners ordered them to cease their activities. This decision was taken as a result of the country’s electricity supply falling below the required levels in recent months and power outages even during peak usage hours.
Rizvanolli also crypto- He noted that, based on the recommendations that these energy measures against mining have been taken, a technical committee has been set up by the government to assess the situation. The government will enlist the help of law enforcement, who will identify the locations where mining activities are carried out and ensure that they are stopped immediately, to ensure that the ban is followed by the miners. The following words of the minister were also recorded in the report:
“We are taking these measures in order to overcome the energy crisis before the citizens of the Republic of Kosovo suffer further and to be prepared in case of any shortage of energy transmission or distribution capacities or similar contingencies.”
bitcoin has long been criticized for being environmentally unsustainable and putting an energy burden on countries. According to recent estimates, Bitcoin production consumes around 91 terawatt-hours of electricity per year, which is more than used by the entire country of Finland.
Therefore, in the recent past many countries have taken steps similar to those of Kosovo to restore previous energy levels. The last country to take such a step, energy It was Iran, whose officials decided on December 28 to cease the activities of authorized cryptocurrency mining centers, as the country’s energy consumption increased with the trough temperature.
Besides, currently bitcoin Kazakhstan, which is responsible for the second largest contributor to the hash rate, reported a strain on the country’s electricity grid due to crypto mining.
This prompted the authorities to take swift action to limit this consumption and to enact energy quotas. Other governments looking to address similar issues include Russia and Argentina.