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Laos Expected to Earn $193 Million from Bitcoin Mining in 2022

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Tue, 11/02/2021 - 16:03
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Alex Dovbnya
Bitcoin mining could account for a significant percent of the country's total revenue
Laos Expected to Earn $193 Million from Bitcoin Mining in 2022
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Laos, a small country in Southeast Asia, is expected to earn two trillion kip (roughly $193 million) from Bitcoin mining alone in 2022, Minister of Finance Bounchom Ubonpaseuth said on Tuesday.

This is a significant chunk of the 28.9 trillion kip ($2.8 billion) domestic revenue forecast for the next year.

In mid-September, Laos made a sudden U-turn by allowing six local companies to mine cryptocurrencies. Its government also allowed crypto trading and started working on regulating digital assets.

This marked a major departure from the country's anti-crypto policy. Cryptocurrencies had been banned in Laos since 2018.

The poorest country in Southeast Asia, which has been under communist rule since the 1950s, is trying to capitalize on its hydroelectric dams that produce an abundance of cheap electricity.

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The surplus of power is used for mining. With the projected increase in domestic revenue, the government plans to allocate more funding to priority programs.

As reported by U.Today, El Salvador, a poverty-ridden country in Central America, started mining Bitcoin with its volcanoes in late September.

China, which used to reign supreme in Bitcoin mining, moved to ban the entire industry earlier this year.

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.