17.9 C
New York
April 1, 2023

Nasdaq-Listed ASIC Maker Canaan Partners With Multiple Mining Firms in Kazakhstan

Nasdaq-Listed ASIC Maker Canaan Partners With Multiple Mining Firms in Kazakhstan

Canaan, one of the world’s largest manufacturers of Bitcoin mining equipment, announced strategic collaboration agreements with several mining companies in Kazakhstan as part of its expansion plans in the region.

Canaan’s Expansion Roadmap

The latest development of Canaan’s joint-mining business plans with Kazakh firms comes a few weeks after a successful launch of the last batch of mining machines online under its first phase of deployment in the nation. As of December 31st, 2021, the Chinese ASIC maker had an average of 10,300 AvalonMiners in operation in Kazakhstan and continues to deliver additional computing power.

While discussing the deployment of over 10,000 mining machines, Nangeng Zhang, Chairman and Chief Executive Officer of Canaan, stated that the move only “deepens” the collaboration with prominent regional mining farms. The exec also explained that the company aims to enhance the depth and width of its global presence while strengthening its business operations and also added,

“Joining hands with mining firms, we are excited to leverage each of our respective strengths and resources to maximize profits and capitalize on the growth of the digital assets industry.”

Squeeze in Kazakhstan’s Power Supply

In the wake of China’s blanket ban on cryptocurrency trading and mining last year, Canaan announced diversifying its mining business in Kazakhstan. One of the major reasons for Kazakhstan emerging as the winner for Bitcoin and cryptocurrency miners is its cheap and abundant coal power.

Needless to say, the miners rushed in. As a matter of fact, the country became the second-largest Bitcoin mining country in the world after the United States by August 2021.

However, just months after welcoming the previously cast-off miners with open arms, the country’s mining boom strained the existing energy supply. While the Kazakh government is not likely to introduce a complete prohibition on the crypto mining sector any time soon, regulations can be expected to curb down the illegal mining farms that certain officials believe may be consuming twice the amount as the legal and registered ones.


Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).

PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to get 25% off trading fees.

Read More