ESTONIA is cashing in on the Bitcoin mining act after the State opened a wind farm generated crypto rig.
Estonian wind farm Eesti Elekter has launched a cryptocurrency mine, expecting to capitalise on mother nature’s power supply on a windswept Baltic sea island.
Mining virtual currencies like Bitcoin and Ethereum require powerful computers that are eat up electricity, which can make it costly to mine.
“It is great that the decentralised money transfer blockchain technology has found its way to our wind farm. Hopefully, it will be a fruitful cooperation,” Oleg Sonajalg, an Eesti Elekter board member said.
Eesti Elekter set up a container with banks of computers hooked up for 24-hour cryptocurrency mining at its seven-turbine, six-megawatt Salme wind farm on the island of Saaremaa off Estonia’s west coast.
“The more synergy between future technologies we find, the more able to compete we will be in the future,” Sonajalg said.
The move is the latest example of countries able to circumvent high electricity costs moving to capitalise on the possibilities of mining cryptocurrencies.
Bitcoin are produced through a mathematical process where computers expend energy to solve and verify a block of Bitcoin transactions.
The miner who solves the math problem adds the block to the blockchain and receives newly minted Bitcoin.
The global Bitcoin network currently uses about 2.55 gigawatts (GW) of electricity per year. Ireland’s average electricity consumption is 3.1 GW per year. Austria’s is 8.2 GW.
Critics have pointed out that continued and increased energy consumption could impact the environment.