More than a year after the rock-bottom price of Bitcoin caused a frenzy in the country, Argentinians are still turning to Bitcoin mining to support livelihood. The country is currently battling a severe economic crisis, with millions of Argentinians struggling to make ends meet. Many Argentinians have been forced to take on additional jobs and hustle just to make ends meet, but perhaps this is not the best way to go. Some Argentinians have found a novel solution to the country’s economic woes: to start a small Bitcoin mining operation, using whatever tools they can obtain.

Latin America’s economic woes have led to a surge of miners and new miners near Buenos Aires, as the region’s people turn to Bitcoin as the medium of exchange to help support their livelihoods.

When massive earthquakes and resulting fires ravaged the nation’s largest cities in 2017, the people of Argentina were quick to turn to Bitcoin as a last resort. A cryptocurrency like Bitcoin is an online payment system that isn’t tied to a bank—and therefore, it’s the perfect way to transfer money to a remote region. Argentina was so destitute that Bitcoin-mining camps popped up across the country to process payments, in turn providing desperately needed funds to the local economy.. Read more about what does mining crypto mean and let us know what you think.

Argentinians turn to Bitcoin mining to support livelihood amidst failing economy | In the midst of the economic crisis, the extremely low cost of electricity allows Argentines to make money by mining bitcoins (BTC), while foreign miners try to get their share of the electricity pie, local media reported. Locals are not the only ones to benefit, as Bitfarms, a Canadian bitcoin mining company, has announced the opening of a new mining facility in the country.

Pinch Receipt

Devaluations, defaults, hyperinflation, foreign exchange controls and a dash of ultra cheap electricity proved to be the main ingredients to stimulate local mining companies. Local miners benefit from the electricity subsidies Argentina has long provided to the population, a policy aimed at winning political votes but causing tensions within the ruling Peronist coalition. Even after the bitcoin price correction, electricity costs still make up a fraction of the total income for those who mine at home, Nicolas Burbon, a Buenos Aires-based miner, said in a report to Bloomberg. With capital controls limiting legal trade to as little as $200 per month, inflation is rising at about 50% per year, fueling the demand for any kind of security. The panic over hedging non-eso assets continues to drive up the value of bitcoin in unofficial markets, only increasing the number of reasons to mine the cryptocurrency.

Canadianminers take advantage ofopportunities

Bitfarms has contracted for a direct connection to a local power plant to purchase 210 megawatts of natural gas generated electricity. The proposed new mining facility is located near the utility. As a result, the electricity contract does not include a connection to the local power grid, which has the advantage of not cutting off power during periods of abnormally high consumption, Bitfarms said in a statement. Today, the company has a diversified production platform with five plants in Quebec, all powered by 100% clean hydroelectricity. Bitfarms mines the 1,000th #Bitcoin with hydropower this year – Bitfarms (@Bitfarms_io) 28. May 2021 We looked for places that had rebuilt their power generation systems. Economic activity in Argentina is declining and electricity is underutilized. So it was a win-win situation, says Jeffrey Morphy, president of the company. The initial term of Bitfarms’ contract in Argentina is eight years, with an effective electricity price of $0.022 per kilowatt hour for the first four years.

Gaining an advantage in the crypto asset market

As a paying member of Edge, you have access to a deeper understanding of cryptocurrencies and context in each article. Chain Analysis Price snapshots More context Join now for $19/month View all benefits Published in: Bitcoin, mining Argentinians turn to Bitcoin mining to support livelihood amidst failing economy |

Do you like what you see? Sign up for updates.

The Argentine peso has been in freefall against the dollar and other foreign currencies in the last few months. The value of one Argentine peso has been sinking to record low levels, with an exchange rate of USD 1.12 to 1 USD. The performance of the peso against the dollar is particularly painful because it is one of the few ways in which Argentinians can seek to preserve some of their purchasing power.. Read more about can i mine bitcoin on my phone and let us know what you think.

what does mining crypto meanis mining crypto worth itwhat is mining bitcoin meancan i mine bitcoin on my phone,People also search for,Privacy settings,How Search works,what does mining crypto mean,is mining crypto worth it,what is mining bitcoin mean,can i mine bitcoin on my phone