Georgia has emerged as a significant hub for cryptocurrency mining, with the sector's energy consumption reaching 752 million kilowatt-hours (kWh) in 2025, accounting for approximately 5% of the nation's total electricity usage. This data, released by the Georgian National Energy and Water Supply Regulatory Commission (GNERC), highlights a tripling in the combined output of large-scale data processing centers, most of which are engaged in minting digital currencies like Bitcoin.
The growth is concentrated in free economic and industrial zones in Tbilisi and Kutaisi, where businesses, including crypto miners, benefit from preferential terms. Analysts attribute the surge primarily to the significant increase in digital asset prices during the period, noting that Bitcoin (BTC) reached an all-time high exceeding $126,000 in October 2025.
Leading the consumption is AITec Solutions, responsible for 450 million kWh, operating the Gldani data center in Tbilisi previously run by global infrastructure operator Bitfury. Other major consumers include Texprint Corporation (147 million kWh) and TFZ Service LLC (104 million kWh), the latter acting as a power supplier to mining farms. Smaller firms like ITLab and Sain Fiz contribute additional consumption.
Key to Georgia's appeal is its low-cost, hydroelectric-powered energy and a favorable regulatory framework that includes tax incentives. This contrasts with neighboring regions; Kazakhstan has raised rates for miners to manage deficits, and Russia has banned mining in 13 energy-stressed regions.
Despite a crypto market downturn in early 2026, mining activity remains resilient, with miners using 86.7 million kWh in January and February. The Georgian government's supportive stance extends beyond mining, with the central bank recently adopting rules to permit the issuance of fiat-pegged stablecoins.
