Ethiopia Halts New Electricity Licenses for Crypto Mining

PANews reported on August 11th that Ethiopia suspended new electricity licenses amid capacity constraints and a surge in Bitcoin mining interest, affecting both active and pending mining companies.

BTC

Summary

According to PANews on August 11th, Ethiopia has stopped issuing new electricity licenses for cryptocurrency mining companies due to capacity constraints. The decision impacts 25 operational Bitcoin mining companies and nearly 20 companies awaiting approval, driven by Ethiopia's low electricity prices and abundant hydropower resources.

Terms & Concepts
  • Crypto Mining: The process of using computational power to validate blockchain transactions and secure the network in exchange for cryptocurrency rewards.
  • Electricity License: A government-issued permit required for operating energy-intensive activities like crypto mining.