Paraguay will evaluate future state-run bitcoin mining after launching a pilot program using equipment seized from illegal operators.

The South American country’s initiative puts BTC mining back into focus after “years of tension surrounding the activity. For a time, the country established itself as an attractive destination for miners thanks to cheap electricity and a favorable regulatory environment.”+However, with the massive influx of “illegal installations,” energy theft occurred, and public pressure on the authorities increased. Hence the state’s response to control clandestine operations.

Currently, efforts are underway to repurpose 1,500 of the 30,000 ASIC machines seized, with support from the technology company Morphware and the state-owned electric utility, the National Electricity Administration (ANDE). These entities have established a memorandum of understanding that sets out a framework for cooperation to analyze the plan’s feasibility.

The machines “will be located in facilities controlled by ANDE, specifically near electrical substations to take advantage of the existing infrastructure.”

Although experts indicate that the hardware is very old, the idea is to leverage the country’s energy surplus, known for its low cost and abundance, to power the equipment recovered from illegal operations.

M.Pino

Source: cripto247

(Reference image source: Erling Løken Andersen on Unsplash)

Follow our news on Google! For current, interesting, and accurate information, click here to see all the content on Bitfinance.news. You can also find us on X/Twitter and Instagram

La entrada Paraguay tests state-run Bitcoin mining apareció primero en Bitfinance.

Last week, the Bitcoin Indonesia group held a meeting with the country’s vice-presidential office to discuss the proposal for a Bitcoin reserve to help strengthen the economy.

The strategic reserve in the market’s leading cryptocurrency is a bold idea, complemented by opportunities in mining and financial education that will drive adoption of the digital asset.

Abundant hydroelectric resources favor Bitcoin mining

During the meeting, various advantages the Asian country has in the context of cryptocurrencies were highlighted, such as its “abundant hydroelectric and geothermal resources that could be used to power Bitcoin mining operations.”

On the other hand, the Bitcoin Indonesia group presented government officials with “long-term price projections, such as the one by Michael Saylor, who predicts that Bitcoin could reach $13 million by 2045 in a base case scenario, and up to $49 million in a bull case.”

Such a decision must be carefully considered, considering that Indonesia is the world’s 16th largest economy, with a GDP of around $1.4 trillion and a population of over 280 million. A Bitcoin reserve “could serve as a diversification tool in an increasingly uncertain global macroeconomic environment.”

Regulatory contradictions

However, it is worth remembering that the country maintains a restrictive stance regarding cryptocurrency payments. Specifically, it has banned its use as a means of payment since 2017, “and recently the Ministry of Finance has doubled the tax burden on traders and miners.” In addition, the Income Tax on cryptocurrency sales on local exchanges increased from 0.1 % to 0.21 %, and the fee for foreign exchanges increased from 0.2 % to 1 %. Mining companies, meanwhile, face a VAT that increased from 1.1 % to 2.2 %.

M.Pino

Source: coinwatcher.com

(Main reference image source: Jannis Lucas en Unsplash)

Visit our news channel on Google News and follow us to get accurate, interesting information and stay up to date with everything. You can also see our daily content on X/Twitter and Instagram

La entrada Indonesian government considers creating a national Bitcoin reserve apareció primero en Bitfinance.

A recent study by the Cambridge Centre for Alternative Finance (CCAF) at the Cambridge Judge Business School estimates the growth in the use of sustainable energy for Bitcoin mining at 52.4 %.

To compile this report, the CCAF “included 49 mining companies, 41 % of which are publicly listed and have operations in 23 countries.”

According to the findings of this research, “9.8 % of sustainable energy comes from nuclear energy and the remaining 42.6 % from other sources such as wind and hydropower.”

On the other hand, Cambridge researchers highlight the replacement of coal with natural gas in the Bitcoin mining process, with an increase of 38.2 % from 25 % in 2022.

It is important to note the CCAF’s conclusions on annual grid electricity consumption, which stands at “138 TWh, about 0.5 % of global usage; CO2 emissions, meanwhile, total around 39.8 megatons, which remains a worrying figure.”

M.Pino

Source: cripto247

(Reference image source: Karsten Würth on Unsplash)

Visit our news channel on Google News and follow us to get accurate, interesting information and stay up to date with everything. You can also see our daily content on X/Twitter and Instagram

La entrada Bitcoin mining with sustainable energy surpasses 52.4 % apareció primero en Bitfinance.

Deutsche Telekom is venturing into Bitcoin mining using surplus energy from renewable sources that would otherwise be wasted.

Europe’s largest telecom provider is venturing into the world of cryptocurrencies in a new project called “Digital Monetary Photosynthesis.”

The initiative was developed by Deutsche Telekom subsidiary MMS in collaboration with Bankhaus Metzler, who have indicated that the BTC mining equipment will be installed in “Backnang (Germany), at the facilities of the metal and glass facade manufacturer Riva, and will be managed by Metis Solutions.

Germany will use the growing amount of renewable energy sources in the Deutsche Telekom project, according to Oliver Nyderle, head of digital trust and Web3 infrastructure at Deutsche Telekom MMS, betting that Bitcoin mining will help “regulate energy fluctuations in the country’s power grid.”

Nyderle stressed that surplus energy from sources such as wind turbines “is converted into digital values ​​through miners. We call this digital monetary photosynthesis.” Another segment they will work on is the offer of financial services with digital assets.

M.Pino

Source: cointelegraph

(Reference image source: Erling Løken Andersen in Unsplash)

Visit our news channel on Google News and follow us to get accurate, interesting information and stay up to date with everything. You can also see our daily content on X/Twitter and Instagram

La entrada Deutsche Telekom to use renewable energy for Bitcoin mining apareció primero en Bitfinance.

Given the high energy consumption of Bitcoin mining, in addition to the generation of carbon emissions into the environment, the International Monetary Fund has proposed an increase in electricity rates by 85 %.

The organization, through a recent publication, indicates that both Bitcoin mining and the development of artificial intelligence “consumed 2 % of the world’s electricity in 2022, and it is estimated that this figure could reach 3.5 % in the next three years, according to projections from the International Energy Agency (IEA).”

Analyzing consumption and comparing it by country, it would correspond to that of Japan, the fifth country with the highest electricity demand globally.

Regarding electricity rates for mining bitcoin and other cryptocurrencies, which would be responsible for 0.7 % of global carbon emissions by 2027, the IMF has proposed an 85 % increase “to encourage miners to reduce their energy consumption and mitigate its environmental impact.”

At the same time, there are studies according to which the environmental impact of bitcoin mining would not be as harmful as is believed. Furthermore, it is argued that Bitcoin miners have been using renewable energy sources.

M.Pino

Source: iProup

(Reference image source: Fré Sonneveld in Unsplash)

Visit our news channel on Google News and follow us to get accurate, interesting information and stay up to date with everything. You can also see our daily content on Twitter and Instagram

La entrada IMF asks to increase electricity rates for Bitcoin mining by 85 % apareció primero en Bitfinance.

The president of Russia, Vladimir Putin, approved Bitcoin mining in the country after signing the bill authorizing the activity last Thursday, August 8.

With this measure, Russia takes an important turn to the rigorous stance it had maintained in recent years towards cryptocurrencies, which could now become a pillar of the local economy.

It is important to take into account favorable aspects that preceded this change in the Russian government’s position, such as an attractive domestic climate and low energy costs that “caused a huge influx of mining firms to the country. Even some giants like BitRiver preferred sanctions rather than abandoning the comfort that Russia represents for their operations.”

Pressure from the West also accelerated the Kremlin’s response on cryptocurrencies. “After the war in Ukraine, sanctions hinder the normal development of the economy and trade with the rest of the world. Hence, stimulating the digital currency sector to forge an alternative seems to be the goal of the Slavic superpower.”

With this decision, related issues emerge, such as the importance of having a legal mining infrastructure, in addition to the implementation and development of artificial intelligence and other technological solutions that require computing power.

Without a doubt, it is essential for crypto companies to have a clear regulatory framework that allows them to “diversify businesses such as oil and gas. Specifically, surplus energy can be transformed into capital through digital mining.

The expansion of mining in Russia, in this way, becomes positive news globally.” The legalization of Bitcoin mining could also respond to “broader policies related to the BRICS block.”

M.Pino

Source: criptotendencia

(Reference image source: Erling Løken Andersen in Unsplash)

Visit our news channel on Google News and follow us to get accurate, interesting information and stay up to date with everything. You can also see our daily content on Twitter and Instagram

La entrada Putin signed the bill legalizing Bitcoin mining in Russia apareció primero en Bitfinance.

The Paraguayan Senate approved increasing the penalty for Bitcoin miners without proper authorization to 10 years in prison, thus continuing the request made last month by Senator Ever Villalba by modifying article 173 of the Penal Code.

The Senate voted on the proposal, which was approved with 29 votes in favor and 7 abstentions (there were no votes against), which also authorizes the seizure and confiscation of ASIC equipment.

Thus, the South American country will increase the penalty to 10 years in prison based on the “crime of theft of electrical energy for commercial or industrial purposes, as well as establishing the confiscation of the equipment used and its subsequent delivery to the National Electricity Administration (ANDE in Spanish)”.

After obtaining approval by the Upper House of Paraguay, it must be sent to the Chamber of Deputies and if it is also approved there, it will be transmitted to the office of President Santiago Peña so that he can promulgate or veto the bill.

It is important to note that there are four other legislative proposals on Bitcoin and activities related to its mining, such as one that proposes its prohibition in the country.

M.Pino

Source: iProup

(Reference image source: Michael Förtsch in Unsplash)

Visit our news channel on Google News and follow us to get accurate, interesting information and stay up to date with everything. You can also see our daily content on Twitter and Instagram

La entrada Unauthorized Bitcoin mining will be punished with ten years in prison in Paraguay apareció primero en Bitfinance.

Renewable energy is used in El Salvador for Bitcoin mining. The Central American country uses the energy of the Tecapa volcano in this activity, and has already managed to mine 474 bitcoin, which is equivalent to about 29 million dollars.

The country has used the geothermal energy produced by the Tecapa volcano to power the mining equipment of the main cryptocurrency on the market since 2021.

It is important to note that El Salvador has more than 5,000 BTC with unrealized gains of USD $57 million, a characteristic that President Nayib Bukele has highlighted on several occasions.

Regarding the use of geothermal energy, “1.5 megawatts (MW) of the 102 MW produced by the state power plant have been allocated for cryptocurrency mining,” according to a report.

El Salvador imports between a fifth and a quarter of the electricity used in the territory. “The rest of the production is divided between hydroelectric, geothermal and plants powered by fossil fuels, of which geothermal represents approximately a quarter of the country’s energy,” according to sector data.

M.Pino

Source: diariobitcoin

(Reference image source: Traxer in Unsplash)

Visit our news channel on Google News and follow us to get accurate, interesting information and stay up to date with everything. You can also see our daily content on Twitter and Instagram

La entrada El Salvador has mined 474 Bitcoins with energy from the Tecapa volcano apareció primero en Bitfinance.

El Salvador’s long-awaited Bitcoin bonds, also known as “Volcano Bonds”, have received regulatory approval and are scheduled for launch in early 2024.

El Salvador’s Digital Assets Commission gave the green light to Volcano Bond, according to a statement issued on December 11 by El Salvador’s National Bitcoin Office (ONBTC). This innovative financial instrument is expected to hit the market during the first quarter of 2024.

Nayib Bukele, the country’s pro-Bitcoin leader, apparently confirmed the news in his own post titled: “When the volcano bonds?”.

On January 11, El Salvador marked a milestone by passing landmark legislation that establishes the legal framework for the bond backed by Bitcoin. Volcano Bond is expected to play a crucial role in paying off sovereign debt and financing the construction of the country’s ambitious “Bitcoin City”.

ONBTC reported that the bond will be issued on the Bitfinex Securities Platform, a blockchain-based securities and bond trading site registered in El Salvador.

On another front, El Salvador has recently launched a billion-dollar Bitcoin mining project. This project will harness the country’s volcanic resources through a strategic partnership with Luxor Technology.

K. Tovar

Source: Cointelegraph

(Reference image source: X, @hispanopost)

Visit our news channel on Google News and follow us to get accurate, interesting information and stay up to date with everything. You can also see our daily content on Twitter and Instagram

La entrada El Salvador’s bitcoin bonds were approved apareció primero en Bitfinance.

El Salvador, a pioneering Central American country in adopting bitcoin as legal tender, launched its first mining pool for this cryptocurrency, called Lava Pool.

This is a joint effort between the public and private sectors, promoted by Volcano Energy and Luxor Technology Corporation. The project is focused on renewable bitcoin mining.

This ambitious project in El Salvador, “which has the support of companies like Tether, plans to generate electricity from renewable sources to boost Bitcoin mining operations in the Central American country.”

According to statements to Forbes by the CEO of Volcano, Gerson Martínez, Lava Pool’s main goal is to decentralize the mining of the main cryptocurrency on the market, as well as take advantage of the “regulatory clarity” of the country.

The executive added: “Our vision is to create a vertically integrated bitcoin mining and energy company whose value is cumulative for investors and for all Salvadoran citizens.”

Vulcano Energy works hand in hand with Luxor, a company that provides its extensive experience in software and services for bitcoin mining. In the case of Lava Pool, Luxor’s Hashrate Forward Marketplace will be used, which will mitigate market volatility by resorting to automated risk management strategies that have been successful in other mining operators of this cryptocurrency.

For his part, Luxor’s director of operations, Ethan Vera, has also shown his satisfaction with the work on this project, which allows supporting the country in crypto mining with the use of renewable energy from a photovoltaic solar source.

El Salvador’s mining pool will contribute 23 % of its net operating income to the local government.

M.Pino

Source: diariobitcoin

(Reference image source: Raul Flamenco, Unsplash)

Visit our news channel on Google News and follow us to get accurate, interesting information and stay up to date with everything. You can also see our daily content on Twitter and Instagram

La entrada El Salvador launches Lava Pool, first bitcoin mining pool apareció primero en Bitfinance.