Argentina's energy sector is increasingly turning to bitcoin, this time through a state-owned facility that uses natural gas extracted from oil fields that would otherwise go to waste.
JUST IN: π¦π· Argentina's state-owned subsidiary will do the mining $ Bitcoin With lingering gas: Forbes
Eventually, every country will mine #Bitcoin pic.twitter.com/bu6sCXEUJ1
– Bitcoin Magazine (@BitcoinMagazine) May 8, 2024
YPF Luz, a subsidiary of state-owned energy company YPF, recently partnered with Genesis Digital Assets (GDA) To launch a gas-powered mining facility. 1,200 machines will be harnessed to exploit gas that is currently burned in the atmosphere.
This comes as Argentina embraces Bitcoin with the election of pro-Bitcoin President Javier Miley in late 2023.
By reusing stranded gas that is currently burned as waste, the GDA estimates that its mining process could reduce up to 63% of carbon emissions, demonstrating how Bitcoin mining can convert energy byproducts into productive use.
βThis will be another opportunity to show the world that Bitcoin mining can have a positive impact on the environment and can be fully integrated into local communities,β said GDA founder Abdulmalik Mirakhamov.
For YPF Luz, monetizing stranded gas offsets costs and enhances sustainability.
For the GDA, this means competitive energy pricing and lower carbon output. For Argentina, this signals leadership in leveraging Bitcoin mining to boost energy infrastructure.
The news reflects how other countries are using Bitcoin mining to βcleanβ power grids. Bhutan mines Bitcoin using renewable hydroelectric power to consume its seasonal surplus, while El Salvador uses geothermal energy to power mining with no carbon footprint.
Mirakhamov cited Argentine energy resources and friendly regulations as ideal conditions for the facility.
As Bitcoin mining expands around the world, projects like GDA and YPF offer a model for reducing stranded gas burning through productive Bitcoin mining.
