Chinese cryptocurrency mining rig maker Canaan announced Tuesday that it has entered into multiple partnerships in Kazakhstan and deployed over 10,000 mining machines in the country, as the company steps up efforts to expand globally.
Fast facts
- Canaan said in a statement it has successfully launched the last batch of mining machines online under its first phase of deployment in the Central Asian nation. That means it had a total of 10,300 AvalonMiner units in operation there as of the end of last year.
- “Our continued expansion into Kazakhstan is strategic in complementing our existing business operations, as we look to diversify across the value chain,” said Nangeng Zhang, chairman and CEO of Canaan. “Going forward, cryptocurrency mining shall be another key strategic focus for the company, to capitalize on the growth of the digital assets industry.” Canaan did not disclose its local partners in Kazakhstan.
- Canaan has been actively building its presence in Kazakhstan, which has become a popular destination for Chinese miners amid China’s clampdown on the sector. However, some areas in Kazakhstan have experienced power shortages, forcing local miner Xive to shut down its mining site in the southern part of the country in November.
- The mining rig maker said in November that its joint mining business in Kazakhstan came to fruition in partnership with its top three clients there that are authorized by the country’s energy ministry, and it has signed up to 1 million TH/s of computing power that is due for deployment by the end of January 2022.
- China may be trying harder than ever to stomp out cryptocurrency mining, but rig makers appear to be spared from the clampdown. Canaan’s third-quarter report in 2021 showed it recorded a net income of 467.2 million yuan (US$72.5 million) in the period, compared to a net loss of 86.4 million yuan (US$13.5 million) in the same period a year before and a net income of 167.3 million yuan (US$26.2 million) in the second quarter of 2021.