As reported by CryptoSlate, El Salvador is embarking on a groundbreaking initiative to bolster its Bitcoin mining capabilities, as President Nayib Bukele introduces an unconventional proposal: leasing the country's volcanic resources to cryptocurrency miners.
In a social media update on November 25th via X (formerly known as Twitter), Bukele outlined a vision where miners could leverage the geothermal energy harnessed from the country’s rugged volcanic terrain, promoting an environmentally sustainable method for Bitcoin mining.
The concept was inspired by a recent post that showcased El Salvador’s effective utilization of geothermal energy, which has already supported the mining of Bitcoin valued at an impressive $46 million.
Reacting to the idea, Bukele underscored the nation's abundance of geothermal potential given that it is home to 170 volcanoes. He indicated this could create a lucrative opportunity for international miners searching for affordable energy solutions. Bukele noted:
“With 170 volcanoes…a ‘rent your volcano to mine Bitcoin’ program might actually make sense.”
Daniel Alvarez, who serves as the Director General of Energy, Hydrocarbons, and Mines, quickly endorsed the President's visionary plan. He announced that preparations would commence on a new geothermal energy law to enable this pioneering initiative.
The concept garnered enthusiastic support from Max Keiser, a prominent Bitcoin advisor to the President, who highlighted its implications for El Salvador's position within the global Bitcoin ecosystem. He stated:
“El Salvador’s rent-a-volcano to mine Bitcoin will put it in the lead in the global Bitcoin per capita (BPC) race.”
This proposed venture comes amid a significant uptick in El Salvador’s Bitcoin assets, which have experienced substantial unrealized gains during a broader resurgence in the cryptocurrency market.
As reported by NayibTracker, the nation currently possesses over 6,000 BTC, translating to an unrealized profit exceeding $168 million. However, data from the official Bitcoin Office in El Salvador indicates a slightly lower figure of 5,932 tokens, currently valued at around $585.2 million based on existing market prices.
The country embarked on its Bitcoin accumulation journey in 2021, coinciding with the momentous decision to designate the cryptocurrency as legal tender. Since that pivotal move, El Salvador has steadfastly pursued its Bitcoin strategy, undeterred by ongoing critiques and cautionary advice from global financial bodies like the International Monetary Fund (IMF).
Consequently, President Bukele recently took to X to celebrate the success of this ambitious Bitcoin plan, delivering a pointed message to critics: “I told you so.”
Comments