Georgia Ranked Second Globally in Crypto Mining Energy Consumption in 2018

According to a 2018 study by the Cambridge Centre for Alternative Finance (CCAF), Georgia ranked second worldwide in electricity consumption for cryptocurrency mining. The country consumed 60 MW of electricity for virtual currency extraction.

The widespread establishment of mining farms in Georgia was driven by low electricity tariffs, especially in mountainous regions where electricity was provided free of charge to residents. This led to overloaded networks and power outages, particularly in the Svaneti regions.

The high energy consumption for mining raised concerns among authorities and locals. In some instances, residents resorted to traditional methods, including oaths on sacred icons, to persuade miners to shut down equipment and stabilize the power supply situation.