In a resolute stride towards digital progression, the Sultanate of Oman has inaugurated a cutting-edge cryptocurrency mining center, marking the country’s second facility of this nature within a span of less than a year.
The latest milestone comes in the form of a state-of-the-art data hosting and cryptocurrency mining hub situated in the Salalah Free Zone. This economic enclave boasts favorable corporate tax rates, providing an environment conducive to innovative ventures. Orchestrated by local entity Exahertz in collaboration with Dubai-based blockchain firm Moonwalk Systems, the center is poised to make a transformative impact on Oman’s digital landscape.
The realization of this advanced establishment entailed a substantial financial commitment of around 135 million Omani rials, equivalent to approximately $350 million. The facility’s hardware will feature the latest innovations from Bitmain Technologies, with an ambitious objective of setting up 15,000 mining machines by the concluding month of 2023. While presently in its pilot phase, the center is already operational, boasting 2,000 active machines consuming a total of 11 megawatts of power.
This strategic move aligns with Oman’s overarching vision to expedite the digital transformation of its economy, steering it away from a conventional dependence on oil exports. The newly unveiled center represents the second crypto mining facility within Oman, the first of which commenced operations in November 2022 at a price tag of 150 million Omani rials ($389 million). In the preceding year, the average electricity cost for business entities in Oman stood at 0.064 rials ($0.166) per kilowatt-hour.
The country’s proactive stance towards digitalization is further evidenced by the government’s release of a consultation paper on July 27, outlining a prospective national crypto framework. This proposed regulatory framework may necessitate digital asset providers to establish local offices, adhere to specific asset storage protocols, conduct audits, and substantiate proof of reserves.
Despite attempts to reach out to relevant authorities such as the Omani Ministry of Transport, Communication and Information Technology, as well as the Public Authority for Special Economic Zones and Free Zones, responses to inquiries were unavailable at the time of reporting.
