Tesla to Power Bitcoin Mining Facility

News
Fri, 04/08/2022 - 15:55
Cover image via stock.adobe.com
Read U.TODAY on
Google News

Elon Musk-helmed Tesla has agreed to power a solar-powered Bitcoin mining facility in Texas in partnership with Block (formerly Square) and Blockstream, CNBC reports.

Blocksteam CEO Adam Back told the outlet that the $12 million project is supposed to prove that Bitcoin mining is capable of funding zero-emission power infrastructure.

His company also believes that the facility with be able to bolster the network by adding new energy sources to the mix. 

Related
Fundstrat's Tom Lee Says Crypto Is Not Speculative Enough
The mining operation will be powered by Tesla's 3.8 megawatts (MW) solar photovoltaic energy facility and the company-s rechargeable battery storage system called Megapack, which is capable of storing 2 megawatt-hours (MWh).

The mining facility is expected to go live in a few months. The pilot crypto mining operation will only be able to deliver 30 petahash/second (PH/s) in computing power.

As reported by U.Today, Blockstream announced a partnership with Block in early May to construct a Bitcoin mining facility fully powered by solar energy.

Related
Cardano Dominance Drops, This Might Be Gamechanger, According to ADA Whale

Tesla originally bought $1.5 billion worth of Bitcoin last February, but the move attracted criticism due to the flagship cryptocurrency's excessive power consumption.

The e-car market also started accepting Bitcoin on its website last March but then dropped the payment method due to climate-related concerns. The U-turn sparked heated debates about the sustainability of Bitcoin mining.

However, Musk said that Tesla would bring back Bitcoin payments if the percentage of renewable energy in Bitcoin mining were to surpass the 50% threshold. It now seems that the company itself is working on increasing the sustainability of the largest cryptocurrency.