The hours that divide us from the now imminent halving by BTC are the subject of wide reflection. Not only among investors, but also among miners.
If the Chinese and Iranian ones can count on a very low cost of electricity and are therefore able to look at the event with some serenity, the same cannot be said of the companies of mining operating within theeurozone, where the conditions for the sale of electricity are considerably less convenient.
Precisely for this reason, the discussion on what to do has started some time ago and focuses on the future prospects of extraction activities. So let's see what emerged about it.
Some parts of the old continent lend themselves to the activity
The first fact that catches the eye is that relating to the fact that some parts of the European continent are also able to offer competitive conditions to those who wish to mine. The reference is above all to Sweden e Iceland, where energy bills are still quite modest compared to the rest of the eurozone.
It is however about isolated cases and therefore the search for alternative ways of mining must necessarily rely on other factors. Among them what he foresees begins to make headway the use of excess energy from nuclear or power plants for the activity of extracting blocks. A modus operandi which, after having made its way to the United States, begins to take hold also in Germany.
The importance of politics
Another fact that is emerging strongly is the one that refers to political stability. It is also very important for mining companies to have a stable legislative framework at their disposal.
If in Iran and China there have been several times to changes of direction in this sense of no small importance, in the old continent stability seems to be on the agenda, even in the case of changes in government structures.
For those who decide to invest considerable sums, being able to rely on a political framework capable of giving certainties is one imperative necessity. A feature that is certainly not lacking in the European Union and therefore advises many entrepreneurs in the sector to stay there without embarking on adventures with unpredictable results.
Portugal's tax exemptions
Political stability may be a precondition, but it does not translate into immediate benefits for those who practice mining. As the exemptions that a country like the Portugal has decided to grant the miners to entice them to choose the Lusitanian territory to set up their farms.
A path that could soon be followed by other countries as well, although it ultimately does not represent a factor capable of creating effective competition with countries such as China or the United States, which may present a considerably more favorable picture from this point of view.
The hope for European miners lies in the quotes
In light of the foregoing, it is not surprising that according to many analysts the fate of European miners will be decided by price to which the Bitcoin once thehalving.
If its price rises as expected, it will be possible to cope with the too high cost of electricity, otherwise it will be very difficult to think of continuing to mine as it did before the rewards halving.