Bitcoin mining in Paraguay: after the ban, a compromise could be found

Retromining. Industry BTC mining is currently at the center of many questions. First, because another bitcoin halving reshuffles the income cards intended for miners in this Proof of Work (PoW) ecosystem. But also because this activity requires the search for cheap and preferably ecological sources of energy. A global strategy that recently launched a reaction of radical rejection by the government of Paraguay. However, once the pressure subsides, it appears that a a more open and strategic alternative to consider

Paraguay Suspends Bitcoin Mining

One of the main activities associated with Bitcoin mining is find the best possible energy sources. And that’s what it mostly consists of move farms in the industry to developing countries benefits from surplus production.

A strategic development that led some players to settle in the territory of Paraguay of 2022. In fact, this Latin American country has the third largest hydroelectric power plant in the world. A completely ecological and renewable energy source that is more than sufficient to ensure the needs of the local population.

However, the Paraguayan government has recently adopted radical decision. With an official goal, a desire eliminate numerous power outages attributed illegal cryptocurrency miners.

This is the reason 6 months break was officially announced on April 4. In the text, this consists of “prohibiting the installation of farms for the mining of cryptocurrencies, as well as the creation, conservation, storage and marketing of these same cryptocurrencies” on this period dedicated to reflection.

But obviously appeasement seems to already exist a week after…

But maybe not in the end…

The barely launched bill was supposed to ban – at least temporarily – mining cryptocurrencies It seems that it is already being challenged in Paraguay. Senators just asked check this copycertainly after a sudden exposure to ground reality.

As part of their application, the latter – including Salyn Buzarquis – noted above all an obvious interest in being able to to resell excess power from the Itaipu hydroelectric plant minors in shame. An option, of course, much more profitable than a necessity export to neighboring countries such as Brazil and Argentina.

“Today we approved a declaration by the Senate of Paraguay supporting local and foreign investment in infrastructure and urging the Ministry of Industry to examine the economic benefits of selling our excess energy to the Bitcoin mining industry. »

Saline Buzarquis

Then during a public hearing scheduled for April 23. The goal, according to Senator Lilian Samaniegová’s statement, is to present it to the table in a completely transparent manner advantages and disadvantages of bitcoin mining in the country.

Once again, opposition to the bitcoin mining industry encounter the positive reality of its implementation in practice. Because, as in all areas, they cannot be official and respectful actors in the sector convicted of the acts of the secret edge. A balance will necessarily need to be found.

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