Bhutan's Hydropower-based Bitcoin Mining: The Ultimate Eco-Friendly Solution!
Bhutan, a small Himalayan kingdom known for its focus on “Gross National Happiness” and picturesque landscapes, has been quietly mining Bitcoin using its vast hydroelectric potential. Hydroelectric power accounts for 30% of the country's gross domestic product, making it an ideal source of energy for Bitcoin mining operations.
Reports indicate that mining began when the price of Bitcoin was around $5,000 in April 2019, and the country has since explored partnerships to expand its mining operations. Notably, it is currently negotiating with Nasdaq-listed mining company Bitdeer to secure 100 megawatts of power for a Bitcoin mining data center in Bhutan. This partnership would increase Bitdeer's mining capacity by about 12%.
Despite the lack of information available about the location, size, and profitability of Bhutan's mining farms, it has been confirmed that some Druk Holding and Investments (DHI) employees have listed “crypto mining” as their tasks and skills on their LinkedIn profiles. Additionally, the state-owned holding company DHI has invested millions of dollars in cryptocurrency holdings, with the funds managed on behalf of its people.
It is unclear why the government chose not to disclose this project to its citizens or international partners. However, it is worth noting that Bitcoin mining is one of the world's cleanest industries, with more than 50% of its energy sources being renewable or clean energy. Due to cheap, abundant hydroelectric power, Bhutan is an ideal destination for mining Bitcoin.
Bhutan adds to a long list of regions mining Bitcoin with hydropower, from East Africa to Scandinavia. By leveraging green energy to power its Bitcoin mining operations, Bhutan is demonstrating a commitment to sustainability and clean energy practices. As the popularity of cryptocurrency continues to grow, we can expect to see more countries and companies exploring innovative ways to mine Bitcoin while reducing their carbon footprint.