Laos Government Plans Cryptocurrency Mining to Monetize its Surplus Hydropower and Tackle Soaring Debt.

Laos is turning to cryptocurrency mining as a way to monetize its surplus electricity, which has resulted from its extensive hydropower development. However, this strategy comes amid significant debt and environmental concerns. The country is facing criticism for the negative impacts of its dam projects, including ecological damage and displacement of communities. Despite these challenges, the government is licensing local crypto operations and aiming to regulate the industry to generate revenue. This move is also influenced by economic pressures, including a 40% U.S. tariff on Laotian exports and a depreciating currency. While the International Monetary Fund acknowledges the economic rationale for using surplus power, it warns of ongoing challenges related to public debt and inflation.