A crypto-mining data center in the South Australian state will run primarily on solar-generated electricity, a media report has revealed. The coin minting facility was installed in an area known for its energy-intensive iron ore mining and steel production.
Bitcoin Farm to mine cryptocurrency on solar and surplus energy in South Australia
The “city of steel” Why went in South Australia is home to a new crypto-mining facility that will run on electricity generated from solar power. Operated by company Lumos Digital Mining, the 5-megawatt facility will mint bitcoin, a process often blamed for its energy-intensive nature.
Australian national broadcaster ABC notes in a report that at a time when the world is trying to reduce its energy consumption, mining the leading cryptocurrency by market cap uses more energy than mid-sized countries. like Argentina. This echoes criticism often pointed out by mass media around the world.
Local authorities see the solar crypto-mining project as proof that bitcoin generation can be more environmentally friendly. Commenting on the commitment, South Australia’s Minister of State for Trade and Investment, Nick Champion, explained:
This is important for decarbonizing blockchain, which is a very energy-intensive industry. I think it’s the start of a new economy here in Whyalla.
The government official also hopes to see other data centers mining cryptocurrency using renewable energy in the future. “There will be a demand for blockchain, but also for carbon-neutral blockchain, so I think we’ll see more and more installations like this,” he expects.
His statement comes after a recent report by the White House Office of Science and Technology Policy estimated that cryptocurrency production in the United States alone accounts for up to 0.3% of global greenhouse gas emissions.
According to a representative of Lumos Digital Mining, the new crypto farm can potentially hit around 100 BTC annually, depending on the power available. Angelo Kondylas said the company could also sell some of its solar power to other consumers or increase crypto production to use excess power from different sources when power generation exceeds demand.
Kondylas pointed out that generators can suffer heavy losses when they switch off at times of low consumption. “We are basically like a sponge. We absorb the excess that is not used,” he explained. The operator intends to eventually double the size of the mining facility.
Renewable and Surplus Energy Bitcoin Mining is Gaining Ground Worldwide, with Growth investor interest in solar coinage projects in the United States and increase capacity cryptocurrency farms powered by associated petroleum gas (APG) in the Russian oil fields.
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