Belarus Government Considering Crypto Mining with Excess Energy Supply Belarusian President Aleksandr Lukashenko instructed newly appointed officials to focus on energy infrastructure development and local cryptocurrency mining with the nation’s excess electricity. He emphasized that the use of excess power would be beneficial in stimulating the economy without wasting it. Enhancing Energy Infrastructure Addressing a meeting with Energy Minister Aleksei Kushnarenko, Lukashenko emphasized the modernization of Belarus’ power grid, particularly 5,700 km of networks essential for residential areas, businesses, and electric vehicles. While high-voltage infrastructure is safe, weaker networks require adequate reinforcement to prevent blackouts, such as those that occurred during recent storms in the Gomel Region. What matters most to the government is ensuring a stable supply of electricity to 1,500 settlements, particularly where demand for electrification is on the rise. Belarus’ Previous Crypto Mining Initiatives The Belarus government has had a past interest in crypto mining. In 2021, Viktor Karankevich, the Minister of Energy, affirmed that authorities had considered the potential for utilizing excess energy in mining operations. They reviewed risks within the industry, power consumption, and economic impact in their investigation, which took into account successful mining operations in China, the United States, Canada, and Russia. The leadership in Belarus has also taken regulatory frameworks from other countries to see how they would help implement crypto mining as part of the nation’s energy strategy. Increase Electricity Use for Crypto Mining and Warming Lukashenko also encouraged increased electricity usage for hot water supply and heating, citing plans for the second nuclear power plant. The president presented this project as a long-term step aimed at meeting increasing energy demand and ensuring long-term sustainability. Officials were instructed to develop new incentives for households and businesses to change from gas to electricity-based heating, maximizing the country’s power infrastructure. Future of Crypto Mining in Belarus The president validated the global interest in cryptocurrency and the nation’s excess of electricity as the two most powerful drivers of potential mining projects. He suggested that Belarus could either welcome foreign investors to mine cryptocurrency or establish state-backed mining projects. Lukashenko urged policymakers to develop regulatory framework that makes the mining of cryptos an economically viable enterprise as well as for protecting national interests. According to him, there should be regulations that strictly restrict mining operations for preventing illegal actions such as clandestine use of energy or unstated operations. Belarus’ stance in favor of mining is also in line with its general economic and energy strategy, which might make the country a hub of cryptocurrency mining in Eastern Europe. If implemented, these steps can stimulate Belarus’ technological development and create new economic opportunities for individuals and businesses.
