When New Brunswick shut down new cryptocurrency mining connections to its power grid in 2023, it didn’t just stop a few data centers-it stopped a potential surge that could have doubled the province’s electricity demand. This wasn’t a temporary pause. It wasn’t a review. It was a full, indefinite block on any new crypto mining operation from getting electricity from NB Power. And it’s had real consequences for miners, energy policy, and how Canada handles power in the age of Bitcoin.
Why New Brunswick Said No
The decision didn’t come out of nowhere. Back in March 2022, the provincial government ordered NB Power, the Crown-owned utility, to stop granting new electricity connections to cryptocurrency mining operations. At first, it looked like a delay. But by November 2023, that pause became a permanent moratorium. No new mines. No expansions. No exceptions. The reason? Electricity supply was already stretched thin. Crypto mining, especially Bitcoin mining using Proof of Work, eats power like a furnace. A single large mining facility can draw as much electricity as a small town. And New Brunswick had already seen interest from operators who, if connected, would have added 4,600 megawatts to the grid. That’s more than two-thirds of the province’s total capacity at the time. That’s not just a spike-it’s a complete overload. Imagine if every home in Fredericton suddenly added a second electric heater, and then a few dozen companies showed up with industrial-scale heaters the size of warehouses. That’s what crypto mining threatened to do.How the Moratorium Works
This isn’t a law passed by the legislature. It’s a utility policy enforced by NB Power. The utility has been told to refuse any new request for electricity service from a crypto mining operation. That means:- No new Bitcoin mines can connect to the grid in New Brunswick.
- Existing mines can’t increase their power usage, even if they’ve been operating for years.
- There’s no deadline for review. The ban is open-ended.
How Other Provinces Compare
Manitoba paused new connections in November 2022 and extended it until April 2026. That’s a fixed end date. British Columbia passed Bill 24 to give BC Hydro legal authority to limit power to miners. Hydro-Québec raised rates and capped allocations. But New Brunswick didn’t just raise rates or set limits-it cut off access entirely. Alberta is the opposite. It has no moratorium. In fact, its deregulated energy market and cheap power have made it a hotspot for crypto mining. Companies that were turned away in New Brunswick are now setting up in Alberta. The contrast is stark: one province saying no, the other saying yes-and cashing in.
Why This Matters Beyond New Brunswick
New Brunswick’s move isn’t just local. It’s part of a global shift. China banned crypto mining in 2021 and shut down nearly 75% of the world’s Bitcoin mining capacity overnight. That sent miners scrambling. Many went to the U.S., especially Texas and Georgia. Now, Canadian provinces are stepping in to protect their own grids. The core issue isn’t Bitcoin. It’s electricity allocation. Should a province let a few hundred mining rigs use the same power that could run schools, hospitals, or electric vehicle charging stations? New Brunswick says no. And it’s not alone. At least eight countries have outright banned crypto mining. The European Union is debating strict limits. Even the U.S. federal government is starting to look at energy use as a factor in regulation. New Brunswick’s moratorium is a case study in how a province can use its control over its power grid to shape industry behavior.What’s Happening to Miners Now?
Miners who had plans in New Brunswick are now looking elsewhere. Some are relocating to Alberta. Others are moving to the U.S. Midwest, where cheap wind power and supportive local governments are attracting mining operations. A few are trying to restructure-using renewable sources, or switching to less power-hungry blockchains-but most are stuck. The moratorium has effectively frozen growth. No new mines. No expansions. No new jobs. No new tax revenue. For a province with a small economy, that’s a loss. But the government decided that protecting electricity prices and grid reliability mattered more.
Environmental and Economic Trade-Offs
Crypto mining uses a lot of energy. Bitcoin alone consumes more electricity annually than some entire countries. Critics say it’s wasteful. Supporters argue it’s a necessary part of a decentralized financial system. But New Brunswick’s government didn’t debate philosophy. They looked at numbers. They saw that connecting every crypto miner who had expressed interest would have forced rate hikes for everyone else. They saw that the province’s hydroelectric dams couldn’t handle it without risking blackouts. And they saw the bigger picture: as the world moves toward electrifying cars, heating homes, and modernizing infrastructure, every megawatt counts. Mining Bitcoin with fossil fuels or grid power that could go elsewhere isn’t sustainable.Will This Last?
There’s no official review date. No committee. No timeline. The moratorium is indefinite. That means it could last five years. Ten years. Forever. That’s a gamble. If Bitcoin mining technology becomes 10 times more efficient, the argument for the ban weakens. If new nuclear or fusion projects come online, the grid might handle it. But right now, the province is betting that the risks outweigh the rewards. For miners, that means New Brunswick is closed. For the rest of Canada, it’s a warning: if your grid is already under pressure, don’t assume crypto mining will be welcome. New Brunswick didn’t ban Bitcoin. It banned the misuse of public infrastructure.What’s Next?
The moratorium isn’t going away soon. Until NB Power gets new capacity, or the government changes course, crypto mining in New Brunswick is at a standstill. Miners are moving on. The grid is stable. And the province is sending a clear message: energy isn’t a free commodity. It’s a public resource.Is crypto mining completely banned in New Brunswick?
Yes, for new operations and expansions. NB Power is legally prohibited from providing electricity to any new cryptocurrency mining facility or to existing ones seeking to increase their power usage. The ban is indefinite and applies to all Proof of Work mining, including Bitcoin.
Can I still mine Bitcoin at home in New Brunswick?
Technically, yes-but it’s impractical. Home mining with a few rigs won’t trigger the moratorium, since the ban targets grid-scale operations. But the electricity costs are high, and the returns are low. Most home miners in New Brunswick have shut down because it’s not profitable anymore.
Why not just build more power plants?
Building new power infrastructure takes years and billions of dollars. New Brunswick’s hydroelectric dams are already operating near capacity. Expanding them would require major environmental reviews, land use changes, and public approval. The government decided it wasn’t worth it for an industry with questionable long-term value.
What about miners who were already operating before the ban?
They’re grandfathered in-but only at their current power levels. They can’t add more rigs, upgrade hardware to use more power, or expand their facilities. If they shut down and restart later, they lose their connection. The ban is strict on growth.
Could New Brunswick change its mind?
It’s possible, but unlikely without major changes. If Bitcoin mining becomes dramatically more energy-efficient, or if the province gets a massive new power source (like offshore wind or nuclear), the policy might be reconsidered. But right now, there’s no indication the government plans to revisit it.