Kazakhstan expects at least $1.5B in economic activity from crypto

A report from the Data Center Industry & Blockchain Association of Kazakhstan, or NABDC, estimates that cryptocurrency mining could bring $1.5 billion in revenue for the country over the next five years. Currently, corporate digital currency mining activities generate about 98 billion tenge ($230 million) per year in the country. Alan Dordzhiev, the president of the NABDC, issued the following statement as quoted by local news outlet kapital.kz:

In context, “gray miners” refers to individuals carrying forth their own crypto mining operations — often with disputed legal status. The association called for greater regulation to combat illegal mining to prevent a possible electricity shortage. Grey area miners consume approximately 500 MW of electricity in the country, as estimated by Dordzhiev. Earlier this month, Kazakhstan’s Department of Energy proposed a draft order to impose limits on the amount of electricity consumed by the crypto mining industry.