Where Is the Cheapest Country in the World To Mine Bitcoin?

Who would believe a country that has been in an economic, political, and social crisis during the last 20 years will be the best place to mine Bitcoin?

Venezuela is the cheapest country to mine 1 Bitcoin. It only costs $531 because of its subsidized electricity, and South Korea is the most expensive country in bitcoin mining with a total of $26,170 to mine 1 BTC, according to a study of Bitcoinist which took the data from a research in global electricity prices by Elite Fixtures.

The research was conducted in 111 of the 195 of all countries in the world, other countries like Trinidad and Tobago, Ukraine, Myanmar, and Kuwait followed Venezuela in cheapest countries, having electricity costs between $1,000 and $2,000 per BTC.

Venezuela Is the Cheapest and South Korea the Most Expensive Countries for Bitcoin Mining

In the 1980’s in Venezuela, one of the largest hydroelectric power plants in the world was built, called Guri Dam, providing most of the energy to the whole country.

Subsidized electric costs and energy that comes from hydroelectric plants are one of the main reasons for cheap electricity costs in Venezuela, but as the years passed by, electrical outages have been happening along the way, possibly because of lack of maintenance of the power plants.

On the other hand, the last place you need to think about plugging in your bitcoin miner is in South Korea. Recently there have been many regulatory activities in the country such as new laws when it comes to crypto holdings, and removing play-to-earn games apps.

Bitcoin Mining in 2021

Bitcoin miners will remember 2021 as the year of the distribution of bitcoin mining operations in many countries which fled out of China. Before this happened, there was a lot of congestion of transactions on the Bitcoin network which led to high transaction fees paid to Bitcoin miners.

According to Blockchain.com data, 2021 was a better year for Bitcoin miners than 2020, in 2021 they received higher transaction fees which got to its peak on April 20, 2021 when they were paid $16.903 million, which coincided with BTC previous all time high and Coinbase stock debut. If compared with 2020, the peak was on November 6, with a payment of $3.787 million.

Right now the Bitcoin network is not congested having daily transaction fees between $300k and $600k, meanwhile Bitcoin’s price appears to be consolidating between $44,000 and $40,000 over the last couple of days, being $40,000 its support right now, let’s hope in 2022 Bitcoin’s performances will be as positive as 2021.