Iceland refuses to supply new Bitcoin farms with electricity in the middle of electricity shortage-mining Bitcoin messages

Mining cryptocurrencies is one of several energy -intensive industries that are affected by an electricity deficit in Iceland. The country's main supplier now rejects inquiries for a new connection from coin coin mints after the supply of aluminum huts and fish factories has been set.

Island rejects new crypto miners to finish with a lack of energy

Island's largest energy supplier, Landsvirkjun, was forced to restrict energy supply for electricity -hungry industrial customers, including aluminum producers and fish processing companies. The restrictions also apply to consumers with fixed -term contracts. The companies concerned include data centers that reduce digital currencies and the company has rejected new Bitcoin miners.

Landsvirkjun explained the need to reduce, citing a disorder in a power plant and the low water level, reports Bloomberg. The supplier also had a delay in the procurement of electricity from an external producer. The supply company announced on Tuesday that the cuts will be effective immediately.

The unusually high electricity demand is another key factor for the deficit, noticed Tina Trausstadottir, Executive Vice President of Sales and Customer Service at Landsvirkjun. Iceland's huge huts have been a great consumer for decades, but a growing number of cryptocurrency miners who are attracted to the cheap energy of the island state are now also playing a role.

crypto mining companies such as the Canadian Hive Blockchain Technologies and the Genesis Mining and Bitfury Holding, which was noted in Hong Kong, are among those that are already in operation Coin coinstays in the country. Landsvirkjun, however, said that it is now rejecting inquiries from new customers in the mining sector.

The company continued that due to restrictions on the Icelandic distribution system, it cannot operate any load points from the country's largest power plant, Karahnjukavirkjun. The work is located in the east of the country, while the west of the island is mainly deficient.

The news of Iceland's problems with electricity shortages comes after two other Nordic nations, Sweden and Norway, have expressed concerns about the increasing energy requirements and the growing environmental effects of the cryptocurrency mining. In November, Swedish supervisory authorities demanded an EU-wide ban on crypto mining. A few weeks later, the Norwegian government specified It could support swedens suggestion .

Do you believe that Iceland will remove the restrictions on new crypto mining farms as soon as it eliminates its current current deficit? Tell us in the comment area below.

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