Volcano Energy: the Upcoming Bitcoin Mining Center in El Salvador

Updated: 06 June 2023

Disclosure

Don’t invest unless prepared to lose all the money you invest. This is a high-risk investment, you shouldn’t expect to be protected if something goes wrong.

Join Our Telegram channel to stay up to date on breaking news coverage

El Salvador, in collaboration with Tether, is set to build a cutting-edge Bitcoin mining center dubbed ‘Volcano Energy.’ The investment from Tether not only provides capital but also adds their extensive knowledge in the fields of energy, hardware, and communications. This represents a significant milestone in the renewable energy project.

The plan put forward by El Salvador is focused on leveraging the country’s rich natural resources to revolutionize Bitcoin mining. The project aims to enhance energy competitiveness, diversity, and geographical expansion of the Bitcoin network, thereby establishing the country as a significant global entity in the Bitcoin mining sector.

El Salvador’s innovative strategy involves developing a renewable energy park with a capacity of 241 MW in the Metapán region. The development will be debt-free and will integrate solar and wind energy projects. The selected site in the El Shiste hamlet in Metapán has been chosen due to its abundant solar and wind energy potential. The park is anticipated to produce 169 MW of solar photovoltaic energy and 72 MW of wind energy.

This ambitious project anticipates initial computational power to surpass 1.3 EH/s, setting a significant precedent for El Salvador and the Bitcoin industry. The total investment for the ‘Volcano Energy’ project is estimated at $1 billion, with the initial investment pegged at $250 million. Top developers and manufacturers in the renewable energy field, along with leading individuals from the web3 industry, are actively contributing to the project.

The El Salvadorian government, led by President Nayib Bukele, is instrumental in planning and executing the project. The government is entitled to a preferred participation equivalent to 23% of the revenue, with the remainder being distributed among investors. This strategy will enable further expansion of energy production capacity and advancement of Bitcoin mining.

Robert Warren, a renowned industry expert from Distributed Hash, offered his views on Twitter. He suggested that the project’s reliance on wind and solar energy is likely a strategic move to accelerate monetization while building on existing geothermal resources.

If you’re confused by the use of wind/solar, here is the translation.

El Salvador is building large intermittent wind/solar generation to monetize base geothermal expansion with BTC mining.

In the grand scheme 241MW isn’t huge, but if properly run, very good for ES. https://t.co/JJpFjhZOnS

— Rob W. (@BikesandBitcoin) June 5, 2023

The World’s Biggest Bitcoin Mining Operation?

USDT stablecoin issuer, Tether, is not just an equity investor but also an advisor in the ‘Volcano Energy’ project. Their aim, in line with the project’s objectives, is to help establish one of the world’s most significant Bitcoin mining operations through the integration of solar and wind projects within El Salvador’s volcanic region.

Paolo Ardoino, Tether’s Chief Technology Officer, expressed his enthusiasm for the project. Ardoino outlined the importance of the ‘Volcano Energy’ project and Tether’s commitment to broaden its strategic ecosystem. The partnership with El Salvador and ‘Volcano Energy’ is expected to boost sustainable energy production and secure El Salvador’s place in the global Bitcoin mining industry.

Josue Lopez, CEO of Volcano Energy, conveyed his vision of a sustainable Bitcoin network and underscored the crucial role of projects like ‘Volcano Energy.’ Lopez also highlighted El Salvador’s emerging role in the global tech scene. Expressing his faith in the country’s potential for Bitcoin mining, Volcano Energy’s chairman, Max Keiser, reaffirmed the project’s promising future.

Smog (SMOG) - Meme Coin With Rewards

Rating