- According to CoinGecko research, Italy stands out as the most expensive country, requiring an electricity cost of almost $210,000 to mine one BTC.
- Various factors such as the increase in global electricity prices after the COVID-19 pandemic and the crisis caused by the military conflict between Russia and Ukraine could be attributed to the high energy costs in Europe.
- Lebanon appears to be an excellent option for crypto miners as it requires only $266 to mine a single Bitcoin.
Which countries are expensive for Bitcoin mining? Which countries are cheap? The cost of mining in Italy is huge!
Expensive Bitcoin Mining Countries
According to CoinGecko research, Italy is at the forefront as the most expensive country, requiring an electricity cost of almost $210,000 to mine one BTC. Other European countries like Austria, Belgium, Denmark, and Germany closely follow as less profitable regions.
Interestingly, out of the 147 countries analyzed by CoinGecko, only 62 are profitable for Bitcoin mining. Despite its economic problems, Lebanon stands out as the cheapest destination for such activities.
When Bitcoin miners decide to join the ecosystem, factors like electricity cost, equipment quality, and network mining difficulty play a crucial role.
Crypto data aggregator CoinGecko has revealed that the average household electricity cost to mine one Bitcoin is $46,291. This is nearly double the current price of the leading digital asset (around $26,000 at the time of writing).
However, there are regions where the costs for BTC mining are significantly higher. Italy ranks at the top with an electricity cost of $208,560 to mine one Bitcoin. Austria, Belgium, Germany, the Netherlands, the UK, and other European countries follow from second to ninth place. The Cayman Islands, the only non-European country in the top 10, is an exception.
CoinGecko points out that the high energy costs in Europe could be attributed to various reasons such as the increase in global electricity prices after the COVID-19 pandemic and the crisis caused by the military conflict between Russia and Ukraine.
Cheapest Countries for Bitcoin Mining
Research suggests significant differences in electricity costs across continents. For instance, the average household energy price to mine one BTC is estimated at $85,767 in Europe, while it’s slightly above $20,000 in Asia.
Lebanon appears to be an excellent option for crypto miners as it requires only $266 to mine a single Bitcoin. Iran, Syria, Ethiopia, and Sudan complete the top five cheapest regions.
There are also countries with low electricity costs that have imposed bans on cryptocurrency transactions. Iraq, for instance, requires less than $4,000 to mine one BTC. CoinGecko stated the following about Iraq:
“It would have ranked second. The Central Bank of Iraq banned the use of cryptocurrency in 2017. Otherwise, Iraq would be on the list of the cheapest countries for bitcoin mining.”
While the United States is positioned in the middle of the list, being the world’s largest economy, it has more expensive electricity compared to neighbors like Canada and Mexico ($46,280). It’s important to note that energy prices vary in each state, which turns lower-cost regions into local crypto hubs. For instance, leading Bitcoin mining company Riot Platforms has concentrated its operations in Colorado and Texas, where lower energy costs are available.
