According to Cointelegraph, eight major cryptocurrency mining operators in Kazakhstan have signed an open letter to President Kassym-Jomart Tokayev, complaining about high energy prices. The list of signatories includes BCD Company, TT TECH Limited, KZ Systems, AI Solutions, Green Power Solution Ltd., VerCom, and KINUR INVEST. The letter states that the Kazakh crypto-mining industry is in a 'very distressful situation' due to high energy prices for miners, and that all major industry players have suspended their activities and plan to cease their business in the country by the end of the year.

The executives who signed the letter believe that the situation with prices derails the government's efforts to regulate the crypto industry in general and mining in particular. They claim that the problem is a consequence of the decision to raise taxes on energy for crypto miners, which has caused the country to lose its position among crypto mining leaders such as the United States, Russia, and China. The letter warns that if the government does not take urgent measures, the digital mining industry in Kazakhstan will cease to exist.

Kazakhstan introduced taxes on digital mining on January 1, 2022, based on electricity consumption by mining entities. The law emerged amid growing national frustration with crypto miners' undertaxed usage of the national power grid. Even at the highest mark, 1 kWh of taxed electricity in Kazakhstan costs miners around $0.067, significantly lower than the average of $0.12 per kWh before any taxes in the United States. According to data from the Kazakh government, it received only around $7 million (3.07 billion tenges) in tax payments from crypto mining entities in 2022.