Jack Dorsey’s Block Inc. is one of the investors in a renewable energy-powered Bitcoin miner in Africa.
Block, a digital payments company, and Stillmark, a venture capital investor, have led a $2 million early investment in Gridless, a miner that leverages microgrids of renewable electricity in sub-Saharan Africa, Block said on December 6.
Energy-intensive process called “miners” validate transaction data and unlock tokens in exchange for protecting the blockchain of the digital currency Bitcoin. According to some reports, the yearly energy usage is more than that of whole nations like Belgium.
Block’s investment is the company’s most recent attempt to promote efficient, decentralized mining. It has engaged seasoned crypto-mining engineers and managers to expand its mining operation and create programs that might motivate users to mine Bitcoin. Most Bitcoin mining power now comes from large data centers.
The mission of Gridless is to collect unused electricity from distributed renewable energy sources in remote areas of Africa. The business has partnered with HydroBox, an African hydroelectric energy firm, to implement five prototype projects in rural Kenya, three of which are now up and running.
It was said that Gridless has potential expansion ambitions across East Africa.
Profitability in the mining industry is directly related to energy prices. Consistently high power costs, Bitcoin’s 66% drop over the last year, and intense rivalry have all taken their toll on the sector.
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