New Delhi: Bitdeer, a Singapore-based crypto-mining firm listed on Nasdaq, and the Bhutan government’s investment arm Druk have announced their partnership to raise $500 million for setting up crypto mining operations that will utilize the hydropower resources of the Himalayan kingdom. The crypto-mining industry requires huge amounts of electricity to power the vast computer farms that mine cryptocurrency, leading to criticism for their impact on the environment and a search for greener mining alternatives. This partnership aims to construct data centers and invest in renewable energy, such as hydropower and hydrogen, to support the initiative of launching a carbon-free digital asset mining data center.
Bhutan is carbon-negative and has a constitution that mandates 60% of the country remains forested. The country has abundant hydropower and exports electricity to India, but it has increased efforts to diversify its economy and expand revenue sources in recent years.
The partnership with Bitdeer represents an investment in a more connected and sustainable domestic economy, according to Druk CEO Ujjwal Deep Dahal. The initiative is expected to begin raising funds by the end of May and will include constructing data centers and investing in renewable energy resources like hydropower and hydrogen.
Bitdeer already operates data centers in Norway and the United States and is owned by Chinese crypto billionaire Jihan Wu. The soaring energy costs of the crypto industry have led to several initiatives to find cheaper and more sustainable ways to power their operations. Last year, dozens of companies joined the Crypto Climate Accord, aiming to achieve carbon neutrality by 2030.
Two US firms, Block and Blockstream, are set to launch a fully solar-powered Bitcoin mine in June. With the partnership between Bitdeer and Druk, the crypto-mining industry may have a greener and more sustainable solution for their energy needs. This initiative represents a significant step towards achieving a carbon-neutral crypto industry and a sustainable future.
