Abandoned Power Plant In Armenia Will Host Cryptocurrency Mining Farms – Mining Bitcoin News

Armenia will invite cryptocurrency miners to install their coin minting equipment in an old thermal power plant. The TPP will be decommissioned and the government intends to lease it to industrial companies, including mining companies.

Miners are welcome to set up data centers in the former TPP in Armenia

Hrazdan’s TPP equipment was deemed outdated and inefficient, producing expensive electricity, and Armenian authorities decided to shut down the old power plant in the near future. Its premises and infrastructure, including power lines, water and gas pipes, will be offered to other more profitable businesses.

The former spa’s rental plan was approved at a meeting of the Public Utilities Regulatory Commission on Wednesday, Sputnik Armenia reported. A company manufacturing refrigeration units has already organized the transfer of part of its production to TPP, the news portal revealed.

In another part of the factory, a free economic zone called Ecos has been established and is now open. Entities involved in mining digital currencies will be allowed to set up their crypto farms in this area. A law legalizing crypto mining in Armenia was introduced in 2018.

Even after the dismantling of the Hrazdan TPP, the mining facilities will have access to sufficient electrical power. A new thermal power plant with four generators, Hrazdan-5, was built nearby by the Russian giant Gazprom. In November 2021, another TPP was completed by the Italian company Renco and the German Siemens.

With the state-run Yerevan TPP, Armenia now has three modern thermal power plants. The report notes that the electricity they produce is more expensive than the energy produced by hydroelectric power stations and the Armenian nuclear power plant west of the capital.

However, the tiny Caucasian nation exports around 75% of its electricity to neighboring Iran which supplies Armenia with cheap natural gas used for power generation. This cooperation will be expanded after the construction of a new transmission line between Armenia and the Islamic Republic in 2023.

Cryptocurrency mining has grown in Iran, which recognized it as a legal industrial activity in 2019. The sector’s energy needs have also increased, and both licensed and illegal miners have been blamed for the growing energy deficit of the sector. country last year.

In May, then-President Hassan Rohani announced a temporary ban on cryptocurrency mining amid rising demand and insufficient electricity supply caused by extremely hot weather and droughts. Tehran lifted the restrictions in September when electricity consumption declined with cooler weather, but reintroduced them in December to avoid winter blackouts.

Keywords in this story

Armenia, Armenian, Crypto, crypto farms, crypto miners, crypto mining, Cryptocurrencies, Cryptocurrency, downgraded, Demand, Electricity, Energy, Hrazdan TPP, Iran, Miners, mining, mining farms, power, power plant electricity, shortages, Supply, thermal energy plant, TPP

Do you think Armenia will take further steps to create favorable conditions for cryptocurrency miners? Share your expectations in the comments section below.

Lubomir Tassev

Lubomir Tassev is a tech-savvy Eastern European journalist who loves Hitchens’ quote: “Being a writer is who I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.

Image credits: Shutterstock, Pixabay, Wiki Commons

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