Volcano Energy, a public-private partnership in El Salvador, has secured an initial funding of $250 million for its ambitious Bitcoin mining project. This funding is part of a $1 billion commitment to construct a state-of-the-art mining farm in the country. Max Keiser, the chairman of Volcano Energy, took to Twitter on June 7, 2023, to share announce this development.
.@Volcano_Energy 🌋🔌 receives the first $250M of a $1 billion commitment that kickstarts 241 MW’s of #Bitcoin mining in El Salvador.
“We Got The Power” https://t.co/j2wE6UJq0O pic.twitter.com/db3PZvFo4q
— Max Keiser, sr. bitcoin advisor pres. Bukele 🌋🧢 (@maxkeiser) June 7, 2023
The investment will facilitate the establishment of a robust power park in El Salvador’s Metapán region, dedicated to harnessing renewable energy sources such as solar and wind power for the mining operation. The power park is projected to have a capacity of 241 MW, with 169 MW dedicated to photovoltaic solar energy and 72 MW to wind energy.
The computational capacity of the Bitcoin mining farm the expected to exceed 1.3 exahashes per second. If achieved, the farm’s hash rate will rank among the top 20 globally.
Volcano Energy considers the park a pioneering example of Bitcoin mining powered by renewable energy. The group believes its success showcases the industry’s ongoing innovation and growth, even in the face of intense competition.
Tether, a stablecoin issuer, is among the investors in Volcano Energy’s initial funding round. However, the exact amount of Tether’s investment remains undisclosed. Paolo Ardoino, the chief technology officer of Tether, emphasized that this investment demonstrates their commitment to promoting investment in mining infrastructure and sustainable energy production.
The Salvadoran government will play a critical role in the initiative’s design and implementation, as it has been granted preferred participation equal to 23% of the project’s proceeds. The remaining 50% will be used to increase energy production capacity and advance Bitcoin mining, while the investors will hold a 27% share.
El Salvador made history in 2021 by becoming the first country to adopt Bitcoin as legal tender. The government continues to foster the use of cryptocurrency within its borders. The Volcano Energy partnership’s focus on sustainable energy aligns with the government’s vision of utilizing cryptocurrency to drive economic growth while addressing environmental concerns.
If you want to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
