How do cryptocurrency hardware wallets work

Mining: Kazakhstan is investing record sums in cryptocurrency sector

Kazakhstan is sticking to its investment target of over $ 700 million in the national cryptocurrency sector, the country announced on September 2.

Kazakhstan plans to invest more than $ 700 million in the blockchain sector over the next three years. The Minister for Digital Development Bagdat Mussin thus confirmed the statements about cryptocurrencies of his predecessor on the day of his appointment on September 2nd. The former minister Askar Zhumagaliyev had already spoken of this investment in June, with which he had already significantly increased the target amount.

According to Mussin, 13 mining farms are active in Kazakhstan. Four more are under construction. Due to the large oil and coal reserves of the Central Asian country, their energy costs are relatively low, which favors mining: Around 6 percent of the Bitcoin hashrate can be traced back to Kazakhstan - the fourth highest value worldwide after China, the USA and Russia.

Cryptocurrency as a catalyst for economic growth

With the growing market cap of the cryptocurrency sector, it aims to boost the country's oil-based economy. The country's liberal cryptocurrency laws could help with this. Because the legislature does not tax mining farms, as it defines mining as a purely technological activity. Taxation of the farms is therefore only possible with the conversion of a crypto currency into fiat money.