Tesla, Blockstream, and Block to start mining bitcoin off solar power

Blockstream CEO Adam Back stated that the project will prove the possibility of mining cryptocurrencies using renewable energy sources

09.04.2022 - 07:30

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What’s new? Blockstream and Jack Dorsey’s Block (formerly Square) have started cooperating with Tesla to build a cryptocurrency mining data center in Texas. A Tesla 3,8 MW solar array and a 12 MWh Megapack system will be used to power the facility.

Information on CNBC

What does Blockstream’s representative say? According to Blockstream co-founder and CEO Adam Back, the mining facility aims to prove that large-scale bitcoin mining can be powered 100% by renewable energy. According to Back, if the project proves profitable in the pilot phase, the companies will add wind power and scale the entire project.

What had happened before? In February 2021, Tesla announced a $1,5 billion bitcoin purchase. In March, the company began accepting the asset as a means of payment but refused it two months later. Tesla’s representatives argued that they are concerned about the impact of mining on the environment. At the end of March 2021, the company sold $272 million worth of bitcoins, making a profit of $101 million.

In July, the company’s CEO Elon Musk announced that Tesla would likely resume accepting payments in bitcoins. The main factor for making this decision will be to improve the environmental friendliness of cryptocurrency mining and increase the share of renewable energy in digital asset mining processes to 50%.

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