Newcomer of Miners: Mongolia
While mining companies around the world suffer losses, companies in Mongolia are planning to grow.
Cheap electricity and cold air are perhaps the two most important elements of Bitcoin mining, and Mongolia has both.
Due to the current market conditions, mining activities in other countries have begun to suffer losses. However, mining in Mongolia is still profitable.
Tokyo-based electronic wallet company Ginco has two mining operations in Ulaanbaatar, the capital of Mongolia. The interesting thing is that while mining companies around the world lowered the shutters due to the market situation, Ginco started mining operations. It is also known that Ginco currently has 600 mining equipment and plans to increase it to 1,000 in the first quarter of 2019.
The business environment is getting harder, but we are still able to make a profit, lam said Yuma Furubayashi, chief executive officer of the company, in an interview with Nikkei Asian Review on January 11th .
But not every mining company thinks like Ginco. In recent times, we often encounter with news of the dismissal of the world’s giant mining companies or the news of great losses. Japan-based GMO Internet INC ., For example , announced that it had halted some of its activities in December after the loss of 24 billion yen. In addition to GMO, America-based Bitcoin mining company Giga Watt filed for bankruptcy in November GM
In addition to all these bad news, Ginco still believes that profit can be profitable.
Energy costs and the indispensable points of cold weather mining companies. Nikkei Asian Review states that these points are a key factor for companies’ profit equations. The fact that the electricity prices in Mongolia are 3 profits cheaper than in Japan makes the country attractive for the miners.
For example, a Japan-based venture, iTools, announced last summer that it has started mining activities in Mongolia. In fact, the company has recently announced plans to go to a statement said.