October 29, 2020

A Russian startup will turn an aluminum plant into a mining farm

A Russian startup will turn an aluminum plant into a mining farm

The Russian Mining Company (RMC) acquired the building of the former Nadvoitsky Aluminum Plant Rusal in northern part of Karelia, which ceased operations due to US sanctions.

RMC plans to turn the aluminum plant into a huge mining farm, which will control 20 percent of the total bitcoin production.

The mining company has joined forces withCryptonex, a UK-registered trading platform for converting a former factory into a Bitcoin mining farm. According to a statement from RMC, the decentralized mining center BitcoinRussia will be launched by the end of this year.

Office of Foreign Assets ControlThe United States (OFAC) imposed sanctions on the Rusal aluminum plant in April 2018, as it was owned by Oleg Deripaska, who is described in the US government as the “henchman of the Kremlin.” Although the US embargo on Rusal has since been lifted, aluminum production at the plant has not continued since the company has lost all of its foreign customers.

According to the management of RMC, the farm will use the cheap electricity available for the plant in its interests and will sell its computing power to other crypto miners.

According to the materials btcmanager.com