Because of the electricity shortage in Iceland, new crypto mining firms are not getting approval for the electricity supply in Iceland.
After the ban on crypto mining and related crypto services by China, many countries welcomed the new crypto mining companies and also many of the Chinese Bitcoin mining companies shifted to the crypto mining friendly locations in the world. But these things are raising concerns over the electricity supply and need. The majority of the countries are worried about their future with the current potential of electricity generation, in particular Kazakhstan-like countries planning to adopt nuclear electric power plant ideas.
In the latest, the news is coming from Iceland, where the electricity consumption rate has reached at high level. Because of these issues of electricity shortage, supply has been shorted by the power supply agency to all the industrial firms including Bitcoin mining companies.
Around a decade ago, Iceland deployed high-level hydroelectric power plants to generate electricity at a cheap cost. But right now, the level of the water is getting down and that is why electricity generation has plunged. So to reserve electricity for the near future, authorities decided to save electricity by reserving the hydro reserve level.
As we know, the crypto mining industry surged 10 years ago, so most of the crypto mining firms joined Iceland a few years ago. These firms are Hive Blockchain Technologies Ltd., a Canadian company, Genesis Mining Ltd., a Hong Kong-listed company, and Bitfury Holding.
Now, every new crypto mining firms’ request is getting declined by the power supply departments to keep the electricity supply in the safe zone.
According to Landsvirkjun, from 7 December all the new requests of electricity demand for new crypto mining firms will not be accepted, told to Bloomberg.