The new BRICS member Ethiopia is signing Bitcoin mining deals with its alliance partner China. The Ethiopian State Electricity Company launched affordable hydropower to attract foreign investments into the country. Ethiopia’s pursuit for foreign exchange currencies netted China’s interest making the two BRICS countries sign a Bitcoin miners deal. China found Ethiopia’s hydropower electricity affordable and lucrative, attracting the perfect opportunity for Bitcoin miners.
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BRICS member Ethiopia is the first African country to take precedence over concerns raised by climate change activists. The deal has positioned Ethiopia to be among the leading destinations for Bitcoin mining and BRICS is making the most of the situation.
BRICS Starts Bitcoin Mining: China’s BTC Miners Find Haven in Ethiopia
A Bloomberg report sheds light that 19 Bitcoin miners from China have secured a power supply for BTC mining in Ethiopia. 21 Bitcoin miners had applied to receive affordable hydropower and only two of them are non-Chinese. However, BRICS member Ethiopia has placed stricter rules for Bitcoin mining deals and BTC miners need necessary government approvals to begin operations.
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“Ethiopia is heavily regulated. Introducing a new sector like this has been a big challenge. We’ve been working for the last two years to get all the necessary permissions from the government,” said Nemo Semret, the CEO of QRB Labs.
While China is the only BRICS country to sign 19 deals with Ethiopia, other nations in the alliance could follow suit. If that happens, BRICS will begin to spread its wings in the Bitcoin mining sector and outpace other countries. The BRICS development could also be a direct competition in Texas as it is the world’s capital for Bitcoin mining.
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Half of the world’s Bitcoin mining is done in the US State of Texas. The State miners consume up to 2,300 megawatts of energy per day, making it 2% of the State’s electricity supply that is enough to power 460,000 homes.