Bitcoin, the world’s most famous and most expensive cryptocurrency is partially banned in Russia, yet Russia remains an attracting force for cryptocurrency miners due to the cheap uninterrupted power supply and the presence of vast areas of empty lands that are suitable for the establishment of robust Bitcoin mining rigs. Another contributing factor is that, while the Russian government frowns at the use of Bitcoin as a currency, it seems to be in full support of cryptocurrency and Bitcoin mining.
Just recently, the Russian Association of Blockchain and Cryptocurrency (RACIB), researched to find out the best regions in Russia that could support massive Bitcoin mining. In the research findings, it was noted that the Krasnoyarsk territory is the most suitable for the project due to its cheap electricity, the presence of telecommunications facilities and also the presence of the Yenisei River which could serve as a coolant to the mining rigs.
GENESIS ENGINEERING HITS GOLD IN RUSSIA
Genesis engineering – a Hong Kong-based joint venture company, established earlier this year by BTC incorporated. It focuses on promoting and developing the cryptocurrency mining ecosystem throughout the world, with its principal focus being on the emerging markets.
After successfully holding talks with officials of key Russian government agencies like the Far East Development Corporation, the Far Eastern Energy Management Company and the Far Eastern Federal University (FEFU). Genesis Engineering has been given the green light in its quest to establish a Cryptocurrency mining farm and an Artificial intelligence laboratory (AI) in Russia’s Russky Island, located at the Far Eastern city of Vladivostok- a Russian free trade zone.
PROFITABLE BITCOIN MINING
Owing to the fact that Vladivostok is a free trade zone, Genesis Engineering says it expects to enjoy preferential tax rates and in return for the great gesture will assist FEFU in its educational projects, training among other initiatives. The original statement by John Riggins- an official of Genesis Engineering read thus :
“we propose to create to create at the FEFU a showroom and a museum of cryptocurrencies and Blockchain. It will show how these technologies have developed to this day. We can also create a demo on real-time cryptocurrency mining. We are ready to finance this project; moreover – we are ready to pay for the training of the best students, to finance university research in this area and participate in them. Also, we are interested in the creation of an artificial intelligence laboratory at the FEFU. Similar structures we have already created with the Moscow State University and the National University of Science and Technology” he said.
A WELCOMED DEVELOPMENT
The Russian government is in support of the project since they stand to gain a lot if the establishment of the cryptocurrency farm is successful.
In a statement by the Director of the Far Eastern Center for Economic Development- Alexander Abramov, the official reiterated that building mining farms on the vast uninhabited expanse of land in the region is a welcomed development. The official further stated that his neighborhood specializes more in the service sector and it wouldn’t be a bad idea if his zone moves into the area of Blockchain technology.
In a nutshell, there seem to be lots of positives in this partnership between the Russian government and the Hong Kong-based Crypto startup. If all goes as planned, it will result in a win-win situation for all parties.