Many small investors have expressed frustration as blackouts have become a regular occurrence in certain parts of the country. Due to the lack of continuity, cryptocurrency mining is not a viable investment in Cuba.
Cryptocurrency Mining Not Viable Under Current Conditions
Though cryptocurrency has become a popular tool for many Cubans to access services they wouldn’t be able to otherwise, such as international purchases, mobile phone, and internet recharges, shipping, and receiving remittances, cryptocurrency mining has yet to reach the same level of adoption in the country.
Cryptocurrency mining was once seen as a smart investment, but this idea has been discredited due to the constant blackouts. As Raydel González, a small cryptocurrency miner who built his own mining rig, told the local news site Cubanet:
I, like many others, had invested a lot in cryptocurrency mining equipment, which can be expensive. With the blackouts, cryptocurrency mining in Cuba is simply not sustainable.
Eduardo Gomez, another miner, attempted to purchase power plants to keep his operations running, but gas shortages have rendered these off-grid power plants less effective. He noted that he couldn’t make a return on a $5,000 capital investment.
Telecommunications Also Impacted
Even those miners who have been able to maintain operations with off-grid power plants have been affected, as the blackouts have also impacted the local telecommunications network. This was reported in June, when an anonymous ETECSA worker noted:
ETECSA’s generators have run out of fuel, so many blackouts have become impossible to sustain. The plants cannot generate enough energy to power the necessary devices for long periods of time, so everything breaks down.
What do you think about the current state of cryptocurrency mining in Cuba? Let us know in the comments below.
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