Bitcoin miners may soon be flooded in Nairobi to use the geothermal energy available to them. A power company provides the source of this energy and asks miners to buy it.
KenGen operates a renewable energy facility in Olcaria, Nairobi. They have ample space in this facility where Bitcoin miners can open stores for their activities. The site is also close to the geothermal power station.
It generates 86% of energy from renewable sources, especially from the Great Rift Valley ground source heat. At the moment, the company wants miners to flood Kenya and use force. Regarding the invitation, Geotapia Development Director Peketsa Mwangi said that they are looking forward to promoting the stability of bitcoin mining through this provision.
There was no immediate reaction from the miners. Also, earlier, the Cambridge Bitcoin Electricity Index reported that there was no mining activity in African countries.
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However, Kenya is an effective opportunity for miners looking for energy sources in the mines. The country can boast of 10,000 MW of geothermal energy. Even Kenzen could boast 863 MW after installing its plant in April.
What are the benefits for Bitcoin miners to move to Kenya?
If Kenjen successfully attracts Bitcoin miners to Kenya, it will have many benefits for miners, companies and the Kenyan government. One such bright advantage is the existence of a sanctuary for mining activities.
In this way, miners will enjoy a more sustainable environment for their work rather than the chaos created by the Chinese government.
Let’s remember that China rose last year to reduce crypto mining activities in its territory. The reason was extra energy consumption. The miners then had to go to the United States in search of a favorable environment. But this invitation is a welcome development if they accept the offer.
Another benefit goes to energy companies. The move will boost its power grid, increase supply and reduce electricity costs. According to Statista, the 1-kilowatt hour power in Kenya is $ 0.22, more than any other country. This is due to the inability to fully connect to the centralized grid, which costs a lot.
For the Kenyan government, this is an opportunity to generate even more significant revenue. First, of course, miners will pay fees and taxes covering their activities in the country. According to sources, the Kazakh government is already planning to earn at least $ 1.5 billion from miners in five years.
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Also, Kenya will have higher levels of crypto exposure, acceptance and investment. Currently, citizens are active in crypto investing through P2P transactions, and the country’s central bank is also looking at a CBDC.
Featured image from Pexels, charts from TradingView.com