Cool on crypto
Iceland is set to use more energy mining Bitcoin than powering homes this year, according to energy firm HS Orka. The geothermal power company estimates that the country’s mining data centres will require around 840 GWh hours of electricity per year, while domestic users will need just 700 GWh.
HS Orka says it is getting a lot of enquiries from third parties interested in setting up cryptocurrency mining operations in the country.
What does this mean?
Such activities consume large amounts of electricity and miners are looking for locations such as Iceland with its cool climate and renewable energy sources. Canada is another country which is acting as something of a crypto magnet right now.
In Iceland, the coastal town of Keflavik already boasts three of Iceland’s largest Bitcoin mining farms. The facilities are constructed to be open to the elements so that winds cool down the hot hardware.
What’s Bitcoin worth?
Bitcoin mining is actually more energy-intensive than gold mining, according to estimates made by Digiconomist. “When you’re deciding whether to hold physical gold or Bitcoin, gold might just be the greener option, and it has the added benefit that it will continue to function even if mining stops completely,” say the cryptospecialists.