According to a Bloomberg story, SBI Holdings, the top financial services provider in Japan, will stop operating its cryptocurrency mining activities in Russia. Per an SBI spokeswoman, the key factor influencing the company’s decision is the general unpredictability surrounding the prospects for the Siberian mining sector in the wake of Russia’s invasion of Ukraine.
The company’s decision was also impacted by the general decline in the value of digital assets, as Bitcoin mining became less lucrative.
SBI Crypto, a division of SBI Holding that specializes in cryptocurrency mining, began operating a public mining pool in March 2021 after starting to mine cryptocurrencies on farms outside of Japan in 2017.
The Bitcoin mining pool operated by SBI is ranked 11th worldwide and contributes 1.2% to the network’s hash rate.
Hideyuki Katsuchi, the chief financial officer of SBI Holdings, stated that the company would sell its mining equipment but did not specify when it would finish its exit. As soon as the war started in February, the company stopped operating its mine.
After the exit, the company won’t have any mining rigs, but it has stated that its bank, SBI Bank LLC, will continue to run normally in Moscow.
The company recorded a pretax loss of 9.7 billion yen ($72 million) for the three months ended June 30 due to the suspension of mining.
Image Credit: Shutterstock
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.
