Bitcoin, Crypto currency, Blockchain

Canadian province of Quebec increased involvement in the Bitcoin Mining market: A model for other regions?

63a439b42a4b5342f77fa9664705e600 - Canadian province of Quebec increased involvement in the Bitcoin Mining market: A model for other regions?

Canadian province of Quebec increased involvement in the Bitcoin Mining market: A model for other regions?

Home News Canadian province of Quebec increased involvement in the Bitcoin Mining market: A model for other regions?

Of
Marcus Misiak –
05.05.2019

Bitcoin Mining is mocked by Parts of the free economy, was for a long time as a good source of revenue for the use of cheap energy. The canadian province of Quebec taps into the Bitcoin Mining market, in order to improve their annual economic forecasts.

Canada showed in the past in an innovative and new technologies, always open-minded. Now the regulatory authority of the Region, by the name of “Régie de l’énergie (LRQ) has angeordenet, that the public utility Hydro-Québec of the Blockchain-industry shares a 300-Megawatt power block. With the help of this measure, the total increased power for the Mining of Krptowährungen of 368 MW 668 MW, without increasing the underlying costs or to change. LQR performs, it have translated to a lot of free electricity for the Mining of crypto currencies and continued low rates would guarantee (free):

Through the creation of a reserved block, and the requirement to reduce power consumption during peak times at the request of Hydro-Québec (up to a maximum of 300 hours per year), we are able to provide these new customers with electricity, without that this has a negative impact on our capacity to Balance. As a result, we can protect the low rates that we offer to our customers.

The electricity rates are an important measure for the profit and loss ratio of more persons or companies participate in Mining. A low Tariff ensures that the Miner transactions and validate a Blockchain cheap and crypto currencies reward you with higher values. By this decision, Quebec has made it clear that it wants to remain as a Mining location remains attractive for investors. Francis Puoilot, CEO and co-founder of Bull Bitcoin, that Quebec has taken to the present time, the right action, however this decision should have been come earlier (freely translated):

If Quebec five years ago, would have maintained the current rates for Bitcoin Miner with clear rules / guarantees, low (now that is the case), we would be currently in the Top-3-Bitcoin-producers and perhaps the largest exporter of Bitcoins in the world. With Gas, water, and the cold, Canada is ready to become the Bitcoin El-Dorado of the future.

The Mining of Bitcoin for a long time was very profitable, as the price of Bitcoin, rode like the end of 2017 on a hype-driven height, travel at 20,000 USD. The incoming price drop of up to 3,100 USD made the Mining unprofitable, so really the only locations were able to work with very cheap electricity to be profitable.

Featured Image: Morrowind | Shutterstock

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