• Contact Us
  • Affiliate Disclosure
  • Privacy Policy
  • Terms of Use
  • DMCA
Monday, September 25, 2023
WongaNews.com
  • Live Prices
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT News
  • Blockchain
  • Regulations
  • Trading
No Result
View All Result
  • Live Prices
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT News
  • Blockchain
  • Regulations
  • Trading
No Result
View All Result
WongaNews.com
No Result
View All Result

Leading Japanese Online Broker SBI to Pull Out of Russia’s Crypto Mining Sector – Mining Bitcoin News

August 20, 2022
in Bitcoin
Reading Time: 4 mins read
A A
Leading Japanese Online Broker SBI to Pull Out of Russia’s Crypto Mining Sector – Mining Bitcoin News
ShareShareShareShareShare

Related articles

Will Bitcoin Drop To $20k? EURUSD Correlation Indicates It Might

Will Bitcoin Drop To $20k? EURUSD Correlation Indicates It Might

September 25, 2023
CREAM price skyrockets 60%; pump and dump scheme?

CREAM price skyrockets 60%; pump and dump scheme?

September 24, 2023

SBI Holdings, the largest online brokerage in Japan, is shutting down its crypto mining business in the Russian Federation. Amid mounting uncertainty over the future of such investments due to the ongoing conflict in Ukraine, as well as decreased mining profits, the financial firm said it plans to sell its equipment and withdraw.

Japan’s SBI Broker to Complete Withdrawal From Russian Mining Industry

Access to low-cost power and suitable climatic conditions made Russia an attractive destination for cryptocurrency miners when China cracked down on the industry in May of 2021. However, sanctions imposed over Moscow’s decision to attack Ukraine this year have hit bitcoin mining, among other Russian industries.

One of the largest mining data-center operators with significant presence in Russia, Switzerland-based Bitriver, was targeted by the U.S. Treasury Department this spring. Then the U.S. company Compass Mining sought to liquidate $30 million in mining hardware installed in Siberia in order to avoid Western sanctions.

Russia’s invasion of Ukraine has created uncertainty over the prospects of the mining business in the energy-rich region, while the crypto market’s downturn has made it less profitable to mint digital currencies, a representative of SBI, the biggest online broker in Japan, told Bloomberg. Chief Financial Officer Hideyuki Katsuchi unveiled that the company plans to sell its equipment and withdraw from Russia.

SBI entered the digital asset space earlier than other Japanese financial firms, but this year’s negative developments have led to a pre-tax loss of 9.7 billion yen ($72 million) from its crypto business in the second quarter, when the group also registered a 2.4 billion yen net loss (over $15.8 million), a first in a decade.

The Japanese brokerage suspended its mining activities in Siberia shortly after the war in Ukraine broke out, but it is yet to decide by when it will complete the withdrawal from Siberia, Katsuchi noted. The financial company has no other crypto business in Russia, the executive pointed out, but it intends to continue operating its Moscow-based commercial banking unit, SBI Bank. The move comes after in July, U.S. diplomats reportedly urged authorities in Tokyo to pressure Japanese crypto exchanges and miners to sever ties with Russia.

In April, the International Monetary Fund (IMF) warned in a report that crypto mining may offer Russia and other sanctioned nations, like Iran for example, a way to circumvent economic and financial restrictions imposed by the U.S. and its allies. These countries can use their energy resources to power mining facilities and generate revenue from the extraction of cryptocurrencies and transaction fees.

According to a recent study, electricity consumption in Russia’s crypto mining sector has been constantly rising in the past few years, registering an almost 20-fold increase over the five-year period since 2017. Siberia’s Irkutsk, offering some of the lowest electricity rates in the country, is one of the most attractive regions for miners, alongside the capital Moscow where they can take advantage of well-developed energy and other infrastructure.

Tags in this story
conflict, Crypto, crypto miners, crypto mining, Cryptocurrencies, Cryptocurrency, cryptocurrency miners, cryptocurrency mining, Japan, japanese, Mining Operations, restrictions, Russia, russian, Sanctions, SBI, SBI Holdings, U.S., Ukraine, United States, War

Do you know of other Japanese companies ending their crypto mining operations in Russia? Tell us in the comments section below.

Lubomir Tassev

Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.

Image Credits: Shutterstock, Pixabay, Wiki Commons, T. Schneider

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

More Popular News

In Case You Missed It


Credit: Source link

ShareTweetSendPinShare
Previous Post

DeFi Transactions Pose Higher Risks, Thai SEC Cautions Investors

Next Post

The Power Rangers Digital Pop! NFT Collection Announced

Related Posts

Will Bitcoin Drop To $20k? EURUSD Correlation Indicates It Might

Will Bitcoin Drop To $20k? EURUSD Correlation Indicates It Might

September 25, 2023

In recent discussions surrounding Bitcoin (BTC) and its potential future price trajectory, crypto-enthusiasts and analysts alike are finding new correlations...

CREAM price skyrockets 60%; pump and dump scheme?

CREAM price skyrockets 60%; pump and dump scheme?

September 24, 2023

Cream Finance’s native token, CREAM, has experienced a 60% price surge, making it the star of the weekend in the...

Former SEC attorney John Reed Stark urges DOJ to ‘wake up’

Former SEC attorney John Reed Stark urges DOJ to ‘wake up’

September 24, 2023

A former attorney of the U.S. Securities and Exchange Commission (SEC) believes prosecution by the Department of Justice (DOJ) is...

Binance, Coinbase navigate challenges; FTX drama takes turn

Binance, Coinbase navigate challenges; FTX drama takes turn

September 24, 2023

Hong Kong, Australia, and Venezuela took center stage as regulatory actions rocked the scene. Meanwhile, Sam Bankman-Fried’s parents face lawsuits...

What The Drop In Spot And Derivatives Volumes Means For The Price Of Bitcoin

What The Drop In Spot And Derivatives Volumes Means For The Price Of Bitcoin

September 24, 2023

It has been a quiet week of caution for Bitcoin traders in terms of price action. This caution has trickled...

Load More
Next Post
The Power Rangers Digital Pop! NFT Collection Announced

The Power Rangers Digital Pop! NFT Collection Announced

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

15 Years Ago: Lehman Collapse Foreshadows the Rise of Bitcoin

15 Years Ago: Lehman Collapse Foreshadows the Rise of Bitcoin

September 15, 2023
DCENTRAL hosts first-ever Web3 conference in Shibuya, Tokyo

DCENTRAL hosts first-ever Web3 conference in Shibuya, Tokyo

September 6, 2023
Hong Kong Financial Secretary Champions Web3 Technology

Hong Kong Financial Secretary Champions Web3 Technology

August 29, 2023

About Us

Wonga News is an online news portal that aims to provide the latest crypto news, blockchain, regulations, and much more stuff like that around the world. We promise to share only high quality content from the world's best crypto sources. Feel free to get in touch with us!

What’s New Here!

  • NHN Corporation Enters Web3 Gaming with Mysten Labs Partnership
  • Arrington resigns from the Board of Directors of Celsius
  • Will Bitcoin Drop To $20k? EURUSD Correlation Indicates It Might

Newsletter

Loading
  • Contact Us
  • Affiliate Disclosure
  • Privacy Policy
  • Terms of Use
  • DMCA

© 2022 WongaNews.com - All Rights Reserved!

No Result
View All Result
  • Live Prices
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT News
  • Blockchain
  • Regulations
  • Trading

© 2022 - WongaNews.com - All Rights Reserved!

  • bitcoinBitcoin(BTC)$26,068.00-1.98%
  • ethereumEthereum(ETH)$1,573.62-1.30%
  • USDEXUSDEX(USDEX)$1.07-0.47%
  • tetherTether(USDT)$1.00-0.06%
  • binancecoinBNB(BNB)$208.66-0.93%
  • rippleXRP(XRP)$0.494397-3.14%
  • usd-coinUSDC(USDC)$1.000.06%
  • staked-etherLido Staked Ether(STETH)$1,574.53-1.24%
  • dogecoinDogecoin(DOGE)$0.060636-1.55%
  • cardanoCardano(ADA)$0.244201-0.69%
  • solanaSolana(SOL)$19.44-0.76%
  • ToncoinToncoin(TON)$2.20-2.52%
  • tronTRON(TRX)$0.084197-0.04%
  • Wrapped stETHWrapped stETH(WSTETH)$1,865.160.38%
  • polkadotPolkadot(DOT)$4.02-0.11%
  • matic-networkPolygon(MATIC)$0.51-1.64%
  • litecoinLitecoin(LTC)$64.22-0.97%
  • shiba-inuShiba Inu(SHIB)$0.000007-0.84%
  • wrapped-bitcoinWrapped Bitcoin(WBTC)$26,063.00-1.85%
  • bitcoin-cashBitcoin Cash(BCH)$206.90-1.12%
  • chainlinkChainlink(LINK)$7.221.01%
  • daiDai(DAI)$1.00-0.05%
  • leo-tokenLEO Token(LEO)$3.77-1.92%
  • true-usdTrueUSD(TUSD)$1.00-0.04%
  • uniswapUniswap(UNI)$4.23-0.71%
  • avalanche-2Avalanche(AVAX)$8.83-1.32%
  • stellarStellar(XLM)$0.112023-1.27%
  • moneroMonero(XMR)$143.900.58%
  • okbOKB(OKB)$42.67-0.38%
  • Aerarium FiAerarium Fi(AERA)$7.12-13.06%
  • binance-usdBUSD(BUSD)$1.00-0.02%
  • BSCEXBSCEX(BSCX)$237.310.49%
  • ethereum-classicEthereum Classic(ETC)$15.13-0.90%
  • cosmosCosmos Hub(ATOM)$6.96-1.29%
  • hedera-hashgraphHedera(HBAR)$0.050213-0.92%
  • GGTKNGGTKN(GGTKN)$0.1121310.76%
  • filecoinFilecoin(FIL)$3.20-1.57%
  • AptosAptos(APT)$5.629.18%
  • crypto-com-chainCronos(CRO)$0.050263-1.55%
  • internet-computerInternet Computer(ICP)$2.96-0.29%
  • lido-daoLido DAO(LDO)$1.47-1.06%
  • quant-networkQuant(QNT)$88.64-1.79%
  • MantleMantle(MNT)$0.391412-0.75%
  • vechainVeChain(VET)$0.016525-2.03%
  • makerMaker(MKR)$1,273.00-0.88%
  • nearNEAR Protocol(NEAR)$1.10-0.69%
  • ArbitrumArbitrum(ARB)$0.81-1.58%
  • optimismOptimism(OP)$1.26-2.47%
  • EdgecoinEdgecoin(EDGT)$1.00-0.03%
  • KaspaKaspa(KAS)$0.0465100.90%