As Kazakhstan turns into more and more well-liked for cryptocurrency mining, the nation’s president has signed a new legislation introducing an additional levy for crypto miners.
President of the Republic of Kazakhstan Kassym-Jomart Tokayev just lately signed final a new legislation that imposes an extra tax price for energy utilized by crypto miners working in the nation. The new fees will take impact beginning in January 2022.
In accordance to native information company Kursiv, the new legislation introduces an extra price of 1 Kazakhstan tenge ($0.00233) per kilowatt-hour utilized by cryptocurrency miners.
The extra tax levy is a part of a sequence of legislative amendments to the nationwide tax code regarding crypto miners. The Kazakh parliament handed the invoice in mid-June.
Albert Rau, Chairman of the committee for financial reform and regional growth, stated that the principle function of the new laws is to regulate the crypto mining trade and “bring it out of the shadows.” Rau is a former First Vice-Minister of funding and growth of Kazakhstan and is reportedly the writer of the new legislative initiative.
Kazakhstan has just lately emerged as a serious vacation spot for cryptocurrency mining operations. In accordance to information from the Cambridge Bitcoin Electrical energy Consumption Index, Kazakhstan is the fourth-largest nation in the world in phrases of its whole Bitcoin hash charge share after China, america and Russia.
Associated: Kazakhstan’s authorities to create roadmap for creating crypto market
Bitcoin hash charge by nation. Supply: Cambridge Bitcoin Electrical energy Consumption Index
As beforehand reported by Cointelegraph, Chinese language crypto mining giants like Canaan have been relocating their operations to Kazakhstan amid a crackdown on crypto mining by Chinese language authorities. Main Chinese language mining pool BTC.com additionally efficiently relocated part of its miners to Kazakhstan in late June.