Genesis Digital Assets to Mine Bitcoin using Argentina’s Stranded Gas

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As a researcher with extensive experience in the blockchain and cryptocurrency industry, I am closely monitoring the global expansion of Bitcoin mining operations. The recent report from Forbes about Genesis Digital Assets Limited (GDA) entering Argentina to mine Bitcoin using stranded gas is a testament to the resilience and competitiveness of this industry.

Bitcoin mining is experiencing a surge in popularity around the world, demonstrating the tenacity of this cutthroat business sector. In spite of the intense rivalry, the computing power used for mining (hashrate) persists in growing, leading to the expansion of mining operations on a global scale.

According to a recent report in Forbes, Genesis Digital Assets Limited, which is among the world’s largest Bitcoin mining companies, is playing a significant role in the continued upward trend of Bitcoin.

A Global Expansion

I’m excited to announce that Argentina is about to join the global Bitcoin mining scene by leveraging stranded gas through a strategic partnership between Genesis Digital Assets Limited (GDA) and YPF Luz, a subsidiary of Argentina’s largest electricity company, YPF. This forward-thinking collaboration highlights the growing trend of expanding Bitcoin mining operations on a global scale, even in the face of its highly competitive landscape.

GDA in partnership with YPF Luz is planning to set up a new Bitcoin mining operation utilizing stranded gas. According to YPF Luz CEO Martín Mandarano, who spoke to local newspaper Ambito, the company has been generating electricity from mining activities since 2022.

At the Bajo del Toro Thermal Power Plant, which is managed by YPF Luz, a new Bitcoin mining operation will be established. This project will incorporate 1,200 mining machines to generate revenue from stranded gas that would have been otherwise released into the atmosphere. This marks the first Bitcoin mining venture for GDA in Latin America, situated in Rincón de Los Sauces, Neuquén Province, Argentina. The mining facility boasts a capacity of 7 MW, with an extra 1 MW as backup power.

Abdumalik Mirakhmedov, the Executive President of GDA, underscored the advantageous political climate and pro-crypto stance in Argentina. He pointed out Argentina’s increasing adoption of cryptocurrencies and stablecoins as a means to shield against rampant inflation. Mirakhmedov highlighted Bitcoin as a potential answer to economic hardships that various Central and South American countries acknowledge.

As a researcher exploring the global landscape of Bitcoin mining, I firmly believe that Argentina holds significant potential in this domain due to its abundant energy resources and business-friendly environment. In light of this belief, I’m thrilled to announce that our organization, GDA, will be opening its first data center in South America – right in Argentina. This strategic move represents an essential component of our geographic diversification efforts. Furthermore, it presents a valuable opportunity for us to demonstrate the positive environmental impact of Bitcoin mining and seamlessly integrate it into the local community.

Using GDA’s exploitation of stranded gas, YPF and Equinor can cover their related expenses while promoting environmental improvements. This could potentially lead to reduced oil prices in the region. Simultaneously, GDA will gain access to affordable energy sources and decrease its overall carbon footprint on a global scale.

As a researcher examining energy developments in 2022, I’d note that YPF Luz, under the leadership of its CEO Martín Mandarano, became the pioneering Argentine company to harness electrical power for cryptocurrency mining from flare gas. This groundbreaking initiative aligns perfectly with YPF’s evolving energy transition strategy. Furthermore, this project, in collaboration with GDA, enables YPF and Equinor – two companies dedicated to lessening their exploration activities’ carbon footprint – to adopt a flexible and eco-friendly approach to flare gas utilization.

This initiative highlights two key aspects of Bitcoin mining’s potential. Firstly, it addresses the environmental impact of stranded gas by repurposing it for mining activities. Secondly, it leverages wasted resources to generate valuable returns through Bitcoin. Importantly, such initiatives are scalable without compromising Argentina’s domestic electricity demand.

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2024-05-09 01:22