European Crypto Miners Share Insights About Their Local Mining Industry

Devashish Bhuyan   May 11, 2020 01:45

dGen, a non-profit research organization, in its report, revealed that the cryptocurrency miners in the European region believe that Europe's higher electricity prices as compared to that of Russia and China is due to the strict regulation, strong protections, and political stability. 

On April 28, 2020, Maggie Clarendon, the editor of dGen, published a study on his Medium channel with the title "Europe’s Mining Opportunity: Bitcoin Halvening 2020". According to the study, many crypto miners in Europe feel prepared for the upcoming Bitcoin (BTC) halving. They also stressed that the higher electricity prices in Europe are making the mining community invest and focus more on highly efficient technologies. 

"Higher electricity prices are offset by smoother business, better regulation and more protection, even things like getting insurance", said Global Business Director of F2Pool, Thomas Heller.

Alejandro De La Torre, the Vice President of Poolin, in the report, also laid stress on the role of a stable government, their clear or non-threatening regulation, and the higher ease of business they offer as compared to countries like China and Russia with low electricity prices. 

According to De la Torre's statement in the study published by dGen, the miners in the European region are relatively better than any other miner in the world as miners in Europe often tend to upgrade themselves quickly, use firmware that is more efficient, and have access to engineered data centers that can take advantage of local weather. 

Philip Salter, the Head of Operation at Genesis Mining, shared his concern in the report and shed some light on the centralization of Bitcoin mining which is rumored to be based in China.

"No one knows exactly how much of the global hashrate originates from China, but it would be great to have other continents gear up. Bitcoin shouldn’t have a central location for mining. It’s like having all eggs in one basket, simply put. China is known for rash and authoritarian decisions, which means a lot of uncertainty for anyone who wants to run a stable business, and also for the entire Bitcoin ecosystem" said Philip Salter.


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