When people speak about mining, counties like Iceland and China are often mentioned as the most suitable places for such activity. However, the small country of Georgia is now rated as the second most profitable area for cryptocurrency mining, right after China.
Previously known for its wine, Georgia is quickly gaining recognition as a global mining hub due to the country’s friendly policy toward cryptocurrency and low electricity prices. According to reports, U.S. based firm Bitfury is one of the major players in Georgian mining industry.
Georgia has also attracted a lot of home miners, who earn their living by mining bitcoin and zcash. Local miners report making as much as $800 USD a month by mining zcash, with electricity costs around 10% of that amount, which is extremely low. Given its profitably, mining is quickly spreading, as more and more people set up their home farms. Many Georgians are very enthusiastic about joining the crypto community.
“We won’t need banks anymore,” says local miner Buzhaidze .“It will be good for society.”
Despite an overall relaxed approach to crypto activities, the Georgian central bank has cautioned the potential investors about risks involved in cryptocurrency operations. Still, a lot of people stay interested. The cheap electricity prices are possible due to country’s extensive use of hydropower. The country currently boasts 72 operational hydro plants, and 22 more are currently under construction.