Bitcoin mining manufacturer Canaan expands footprint in Kazakhstan

Bitcoin (BTC) mining {hardware} manufacturer Canaan Inc is increasing its footprint in Kazakhstan after signing new strategic partnerships with a number of crypto mining corporations in the nation. 

The Nasdaq-listed firm introduced Tuesday that it had deployed 10,300 AvalonMiner models in Kazakhstan as of Dec. 31, 2021, finalizing section one among its deployment in the central Asian nation. Canaan is partnering with native corporations as a part of its enterprise growth plans outdoors of China. However, the corporate declined to record any of its native companions.

Although Canaan relies in Hangzhou, China, the corporate is eyeing growth outdoors of its residence nation following Beijing’s wholesale crackdown on crypto mining in 2021. Zhang Nangeng, Canaan’s CEO, spoke out in opposition to the mining ban throughout an earnings name in July, telling traders that crypto miners make higher use of stranded electrical energy and contribute positively to employment and the native economic system.

With China snuffing out the crypto mining trade, neighboring Kazakhstan has rushed to fill the void, providing displaced miners low-cost and plentiful coal. By June 2021, the world’s fifth-largest mining pool had arrange store in Kazakhstan. The following month, Kazakhstan accounted for practically a fifth of the world’s Bitcoin mining output.

Related: Kazakhstan to resolve whether or not to launch CBDC by late 2022

China’s ban on Bitcoin mining resulted in a pointy drop in community hash charge, however that has rapidly reversed after displaced miners established new bases of operations. Following a six-month restoration, the Bitcoin community’s hash charge reached a brand new all-time excessive on Jan. 2.

As for Canaan, the corporate recorded stellar development in 2021, with internet revenues hitting post-IPO highs. The firm’s internet revenues totaled $204.5 million in the third quarter, up 708.2% over the identical interval a yr earlier, in keeping with unaudited monetary outcomes that have been posted in November.