Bhutan has been mining Bitcoin with hydropower since the BTC price was $5,000
Bhutan is bullish on Bitcoin (BTC). Following the revelation that the tiny Himalayan kingdom has been quietly accumulating crypto, the country is also mining Bitcoin. Also, the country of less than 800,000 people harnesses green energy to power its Bitcoin mining operations.
Known for its focus on “Gross National Happiness” and picturesque landscapes, Bhutan has found ways to exploit its vast hydropower potential, which accounts for 30% of its gross domestic product.
First reported in an exposé in local Bhutanese news and followed by inquiries from Forbes, Bhutanese officials confirmed that mining began when the price of Bitcoin was around $5,000 in April 2019. The price per Bitcoin has since risen to approximately $28,000 per coin at the time of writing .
The kingdom has reportedly explored partnerships to further expand mining operations. In particular, it is negotiating with Nasdaq-listed mining company Bitdeer to secure 100 megawatts of power for a Bitcoin mining data center in Bhutan. This partnership will increase Bitdeer’s mining capacity by approximately 12%.
The extent of Bhutan’s mining remains a mystery, with little information available on the location, size and profitability of the mining farms. Some Druk Holding and Investments (DHI) employees have listed “crypto mining” as their duties and skills on their LinkedIn profiles.
It is also unclear why the government chose not to disclose this project to its citizens or international partners. However, state-owned holding company DHI is known to have invested millions of dollars in cryptocurrency holdings, with the funds managed on behalf of its people.
Although the mainstream media would indicate otherwise, Bitcoin mining is the world’s cleanest industry, with more than 50% of its energy sources being renewable or clean energy. Proponents of Bitcoin mining, such as MicroStrategy Chairman Michael Saylor, explain that “99.92% of carbon emissions in the world are due to industrial use of energy other than Bitcoin mining.” Due to cheap, abundant hydropower, DHI reported that Bhutan is an ideal destination for Bitcoin mining.
Related: How Bitcoin Mining Saved Africa’s Oldest National Park From Bankruptcy
Bhutan joins a long list of regions from East Africa to Scandinavia that mine Bitcoin using hydropower, one of the cheapest sources of clean energy.
Cointelegraph contacted Druk Holding and Investments and will update the article when a comment is received.
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