A new kind of cryptocurrency mining business is gaining traction in Indonesia.
As The Jakarta Post reports, the cryptocurrency mining industry is growing in Indonesia, with many companies launching their businesses in recent months.
According to a report by The Jakarta Globe, Indonesian cryptocurrency mining businesses have grown by 40% in 2017, with some of the largest miners employing over 10,000 people.
One of the biggest players in the industry, Hashicorp, has partnered with the Indonesian mining conglomerate Samaan Mining to develop a blockchain-based cryptocurrency mining operation.
Hashicorp’s project, called Batch 1, was approved by the Indonesian Securities and Futures Commission (ISAFC) on May 29.
The plan is to produce 1 million bitcoins every three months, with the majority of the bitcoins being mined by Hashicore’s miners in Jakarta.
The company has partnered in recent weeks with local bitcoin mining firm, Batch 2.
The two companies have announced plans to jointly operate an industrial mining facility in Jakarta and are currently negotiating a licensing agreement with the government of Indonesia.
Batch 2 has announced plans for an industrial production facility in Kuta in order to increase the amount of mining capacity and create a new “mining park.”
According to The Jakarta Globes report, Hashimpor was the first to announce plans to mine the digital currency, which had been listed on Batch1 for a month, but it took another month to get its approval from the government.
In August, Hashis announced that it had signed a licensing deal with the State Bank of Indonesia (BBA).
The Indonesian mining industry has a number of advantages over its western counterpart, with more than 90% of mining revenue going to the government, which pays most of the mining equipment costs.
The industry has also proven to be a lucrative source of income for local governments and individuals, with Batch2’s revenues reportedly exceeding $2 million per month in 2017.
Hashimpor’s Batch I facility will be located in a rural area in the center of Jakarta, but the company plans to eventually expand to other cities in the country.
BatchI has been in operation since the early days of the digital cryptocurrency boom, and is now the largest Bitcoin mining operation in the world.
The company’s first mining rig is scheduled to be operational by 2020.