Bitcoin Mining: Kenya offers renewable energy sources to miners
Bitcoin mining operations may soon be relocated to Kenya. The African country is now offering miners a source of green energy to achieve their green mining goals.
The energy consumption of Bitcoin is often the subject of strong criticism. However, since the summer of 2020, the cryptocurrency ecosystem and miners seem determined to use other energy sources with a lower carbon footprint. Kenya wants to help the industry achieve this goal. In this sense, the nation wants to offer renewable energy sources to Bitcoin miners.
KenGen romances miners
So far, Africa does not host any bitcoin mining farms. But Kenyan energy company KenGen wants to change that reality. It intends to make green energy sources available to miners. To benefit from this, they must place their installations around the company’s geothermal power plant.
“We have space and power is close, which helps stability,” said Peketsa Mwangi, KenGen’s geothermal development manager.
According Quartz Africa, Kenya could be the first thermal energy producer in Africa. The country has a supply capacity of 863 MW, mainly supplied by KenGen. However, experts estimate that the country could have a thermal energy potential of 10,000 MW.
Bitcoin Mining: What about power consumption?
At nearly 2214.09 kWH, a transaction on the Bitcoin blockchain consumes as much energy as an average American household in 75 days. And, it dumps 1234.93 kg of CO2, the equivalent of 2,737,036 transactions on the Visa network. The annual figures are even more alarming. According Digiconomist dataBitcoin’s energy consumption amounts to 204.5 TWh, equivalent to a country like Thailand.
However, Bitcoin’s share in green energy has grown significantly in recent years. A report from Bitcoin mining advice (BMC) on cryptocurrency power consumption for the fourth quarter of 2021 shows Bitcoin’s power mix stands at 58.5%.
As the table above illustrates, the energy mix of miners far exceeds that of many countries around the world. According to data reported by BMC, only Germany and England are approaching the 50% mark. The two countries have an energy mix of 48.5% and 43.5% respectively.
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