Ukraine Not In Favor Of Regulating The Crypto Mining Industry

All over the world, authorities are focusing on more and more cryptocurrency regulations. With the help of these cryptocurrency regulations, they are able to provide more security to the Fiat currency. In many of the cases, authorities are also restricting the facilities which are available to the cryptocurrency mining rigs as well. The cryptocurrency mining operations are currently trading at a rapid pace. Wherever, there is cheap electricity in proper infrastructure available, the cryptocurrency mining companies are setting up their mining rigs. This is one of the main reasons why governments are also regulating the cryptocurrency mining operations.

Ukraine not in favor of regulating cryptocurrency mining operations:

Even though many of the countries are actually regulating cryptocurrency mining but Ukraine is not thinking of doing so. Also, in the recent past, there have been plenty of mining operations in Ukraine. Also, the consumption of electricity for mining operations has gone up considerably in Ukraine. Even though the regulators might be concerned about them but they are certainly not regulating it.

Also, according to the authorities in Ukraine, there is no special need for any kind of license in order to start a mining operation. As a result, it will become easier for the mining companies to earn a profit by setting up newer operations as well.

According to some of the estimates, each and every year $ 100 million worth of cryptocurrency is mined in Ukraine. This clearly indicates that the industry is not entirely small. Moreover, there are no proper rules and regulations for taxing these profits as well. That is why more and more mining operations are expanding in Ukraine.

Increased scrutiny globally:

On the other hand, when you look at the global scrutiny, you will realize that the amount of scrutiny is on the higher side. This is one of the main reasons why the mining companies are looking for countries which do not pose a lot of obstacles in the start-up of a mining operation.

With Ukraine been pretty clear that the mining operations will not be obstructed, it remains to be seen if any of the mining companies are actually start operations in Ukraine. Moreover, since it is well connected, it will become easier for the mining operations to get the hardware as well. Also, the electricity is comparatively on the cheaper side. As a result, it is easier for the companies to make profits since a major component of their total cost is electricity. It remains to be seen whether in the future, there is any change in the opinion of Ukrainian authorities with respect to cryptocurrency mining.