As cryptocurrency adoption continues to grow all over the world, countries, and blockchain firms are trying to get their hands on as much crypto as possible. While the majority of the platforms go for the easiest way of purchasing crypto from exchanges, the trend of crypto mining has also come back to life.
In the past couple of months, the cryptocurrency mining sector has been blossoming. The reason is the overall boom of the cryptocurrency industry, which is growing by the day. Since early 2020, the overall cryptocurrency industry has been in the greens in general.
This has made the cryptocurrency industry one of the most demanded, attractive, and lucrative online trading markets. As a result, the cryptocurrency industry has tripled in terms of its user base in the past 12 months. As of now, the total user base in the cryptocurrency industry is more than 110 million, and the number keeps growing.
While the majority of the individual investors side with simple buying and selling of cryptocurrencies, major firms are going with a different approach. For firms such as HIVE blockchain, it is more feasible to mine cryptocurrencies than buy them from the exchanges.
For such platforms, mining is a long-term solution to ensure continuous to supply and acquisition of cryptocurrencies. This is why the majority of the firms from around the world and even non-crypto currency firms have started launching their own crypto-mining data centers.
However, one major hiccup that the cryptocurrency data-mining firms have to face, which is electricity costs. At present, it is clear to the entire world that it takes an enormous amount of electricity in order to mine cryptocurrencies.
This is where such firms depend upon subsidies and low electricity costs imposed by the governments. This is why such firms are always on the lookout for countries and regions where cryptocurrency mining is least costly and feasible.
However, the situation has started changing in the Norwegian sector where the cryptocurrency mining centers no longer have a subsidy from the government in terms of electricity supply.
Just recently, HIVE Blockchain Technologies, a cryptocurrency mining firm has confirmed reports of selling a data center in Norway. The firm has confirmed that its cryptocurrency data-mining center in Narvik (Norwegian Municipality) has been sold. HIVE Blockchain Technologies had reportedly started operating the particular crypto-data-mining center in Narvik back in 2018.
The firm has announced that since the sell-off, all of its Norwegian subsidiary’s, Kolos Norway AS’s have been transferred over to Narvik. On top of that, HIVE has also revealed that it has also made an additional payment of $200,000 to Narvik.
The reason behind HIVE’s decision is the bill that passed by the Norwegian Parliament back in 2018. According to the bill, no cryptocurrency mining center in the country was eligible for an electricity subsidy.
HIVE revealed that the implementation of the bill had taken place back in 2019. Since then, the company was not able to work on any development or expansion projects in the country.