Kazakhstan's Ministry of National Economy has proposed to increase the tax rate on crypto mining by 10 times, local media have reported quoting the statements made by the head of the ministry, Alibek Kuantirov.
He claims that currently registered mining companies consume about 640 MW of electric power, receiving it directly from unregulated power generating or power supply bodies.
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Kuantirov has explained this is due to the attractiveness of the tariff. He said:
"In this regard, the ministry proposes to consider the issue of identifying a separate group of consumers of energy-producing organizations to set higher tariffs for them than other consumer groups."
He has proposed to increase the tax from 1 to 10 tenge (from $0.0023 to $0.023) per kWh.
Now, more than 18% of crypto miners worldwide operate in Kazakhstan.
The current tax on crypto mining has been in force since January 1, 2022.