Georgia is experiencing a dramatic surge in cryptocurrency mining activity, driven by affordable electricity prices and a permissive regulatory framework. According to official statistics from the Georgian National Energy and Water Supply Regulatory Commission (GNERC), mining enterprises consumed approximately 675 million kWh of electricity between January and November 2025. This staggering figure represents 5% of the nation's total electricity consumption and marks an 80% year-on-year increase from the previous year.
The growth is concentrated in free economic zones, primarily around Tbilisi and Kutaisi, where large data processing centers operate. Business Georgia reports that the output of companies involved in crypto activity tripled in 2025. The boom is attributed to several key factors: the significant increase in digital asset values throughout 2025, with Bitcoin (BTC) reaching an all-time high above $126,000 in October, coupled with Georgia's relatively low electricity rates and government efforts to legalize and regulate the sector since 2019.
AITEC Solution is the largest electricity consumer among data center operators, using 403 million kWh to run its Gldani facility in Tbilisi. Texprint Corporation, operating from the Kutaisi Free Economic Zone, follows as the second-largest consumer with 135 million kWh. TFZ Service LLC, which supplies power to mining firms in the Tbilisi Free Industrial Zone, ranks third with 104 million kWh. The top five is completed by ITLab (24.6 million kWh) and Data Hub (7.2 million kWh).
Georgia's favorable environment, including a tax regime established in 2019 and increased oversight via 2023 legislation, has attracted international players like mining giant Bitfury, which previously set up operations in the country. The nation generates up to 80% of its electricity from hydropower.
This mining expansion stands in stark contrast to the restrictive measures being adopted elsewhere in the region. The Russian Federation, which legalized mining in late 2024, has since banned the business in about a dozen regions and is drafting laws to punish illegal mining with hefty fines and prison time. Tajikistan has threatened rogue miners with penalties via legislative amendments, while Kyrgyzstan shut down all crypto mining farms in November 2025 citing winter power deficits. Kazakhstan has managed the issue by introducing higher electricity rates for crypto farms and stricter industry regulations.
