Harnessing Volcanic Energy for Mining!
When it comes to countries that have risen with the emergence of cryptocurrencies in recent years, one small Central American country comes to mind — El Salvador. After President Nayib Bukele took office, the country made Bitcoin its official legal tender in September 2021, causing quite a stir worldwide.
In the following three years, El Salvador has continuously purchased Bitcoin. But did you know that El Salvador’s journey with Bitcoin goes beyond just buying it? The country has also harnessed its geographical advantage and natural resources by using geothermal energy to mine Bitcoin.
The Road to Mining 474 Bitcoins in 3 Years
The reason behind El Salvador’s ability to mine using natural energy is its nickname, the “Land of Volcanoes.” 70% of the country’s land is composed of volcanic plateaus and mountains, with 25 volcanoes scattered throughout. Geothermal energy has always been an important source of power for El Salvador.
President Bukele has taken advantage of this opportunity since taking office in 2021. He has set up mining farms near the volcanic power plants. It is said that around 1% of the electricity generated by the country’s power plants is used for mining. The Takapu Volcano alone has nearly 300 mining machines.
According to statistics, El Salvador has successfully mined approximately 473.5 Bitcoins in the past three years, valued at nearly $29 million or approximately NT$930 million.
Transparency and Openness
Meanwhile, the Salvadoran government is also striving for high transparency. The country’s Bitcoin office recently launched a new platform that allows citizens to track real-time changes in Bitcoin holdings and investment data through personalized memory pools.
Furthermore, starting in November 2022, Bukele implemented the “Dollar-Cost Averaging (DCA)” strategy, aiming to purchase 1 Bitcoin per day. This strategy has already yielded a profit of over 43% for El Salvador’s Bitcoin holdings. Currently, the country holds 5,750 Bitcoins, valued at nearly $354 million or approximately NT$11.4 billion.
This article was originally published on Cryptocurrency City.