Bitcoin Iceland's Primary Energy User This Year Over Homes

Alicia Cross
February 15, 2018

According to Iceland's National Energy Authority, the household energy utilization of Iceland is 340,000, which is not as much as the mining energy utilization.

"If all these projects are realised, we won't have enough energy for it", Sigurbergsson tells the BBC.

"There was a lot of talk about data centers in Iceland about five years ago, but it was a slow start", Johann Snorri Sigurbergsson, a spokesman for Icelandic energy producer HS Orka, told The Washington Post.

Data centres that are mining bitcoin receive small rewards when the programs they run solve complex mathematical problems, generating revenue.

Iceland has become one of the most attractive places for virtual currency mining companies to open shop given the island's abundance of renewable energy - geothermal and hydroelectric energy account for nearly 100% of Iceland's electricity production.

Bitcoin mining refers to the work done by computers connected to the global Bitcoin network.

That could cause problems, though, as officials warn they won't have sufficient energy to supply the number of proposed Bitcoin mining centers (if those facilities do indeed open).

Trump's Proposed Budget for NASA Calls for Return to the Moon
Rumors about ending federal funding have circulated for some time, and The Washington Post reported on the plansover the weekend. But he's said he not convinced the industry could bear the financial burden of maintaining the space station by the mid-2020s.

SpaceX sends rocket to Mars for just $90M
By reaching orbit on board the Falcon Heavy rocket, it has proven that SpaceX has the capability to send large payloads to space. Interested in solar? Get a solar cost estimate and find out how much a solar system would cost for your home or business.

'Obsessed' fan dead after breaking into famous YouTube couple's home
Police determined "it was apparent that Giles' sole intent was to cause harm to someone who resides there", KVUE reported. Police later searched Giles' home and mobile phone where they found more evidence of his obsession with Ms Turney.

By contrast, he estimated that Iceland's homes use around 700 gigawatt hours every year.

Nevertheless, the value of thriving mining industry for the country is quite a disputable issue as for mining neither a huge staff no large capital investments are needed.

"The value to Iceland.is virtually zero".

Some have questioned how beneficial the rise of the crypto-currency mining will be to Iceland.

Iceland has become a haven for cryptocurrency miners in part because of its cheap electricity. As the mining companies have been developing in the North Atlantic island, Smari McCarthy, a lawmaker from Iceland's Pirate Party, has come up with an idea to tax the profits of bitcoin mines.

It has previously been reported that the electricity demand of the world's total combined Bitcoin mining operations may now exceed the energy use of the Republic of Ireland, though this calculation may not be entirely accurate. The country is fielding several proposals for new data centers, which could increase Bitcoin-related energy use even more. "These companies are not doing that, and we might want to ask ourselves whether they should".

Other reports by Free-Prsite

Discuss This Article

FOLLOW OUR NEWSPAPER