Volcano Energy, a Bitcoin mining company in El Salvador, has received a significant investment of $250 million to kickstart its ambitious project. This investment marks the beginning of the development of a 241-megawatt power generation park in the Metapán region of El Salvador.
The company aims to leverage solar and wind energy to power its Bitcoin mining operations. This will subsequently showcase a commitment to sustainability in the cryptocurrency industry.
Among the investors in the first funding round for Volcano Energy is Tether, a stablecoin issuer. While the exact amount of Tether’s investment remains undisclosed, the Chief Technology Officer, Paolo Ardoino, has expressed the stablecoin issuer’s commitment to driving investments in renewable energy production and mining infrastructure.
This partnership highlights the growing interest of major players in supporting sustainable practices within the cryptocurrency sector.
Pioneering Bitcoin Mining Powered by Renewable Energy
Volcano Energy plans to utilize a combination of photovoltaic solar energy and wind energy to generate 241 MW of power capacity. The company aims to exceed 1.3 exahashes per second in computing power.
Consequently, this will position it among the top 20 Bitcoin mining pools globally. This project represents a pioneering approach to Bitcoin mining. It also aligns with the industry’s constant drive for innovation and growth in a competitive landscape.
Collaboration with the Salvadoran Government
The government of El Salvador will play a crucial role in the planning and execution of Volcano Energy’s mining initiative.
As part of this collaboration, the government will secure preferred participation equivalent to 23% of revenues. The remaining 27% will be owned by the investors, while 50% of the profits will be reinvested to expand energy production capacity and advance Bitcoin mining operations.
This partnership between the private sector and the government reflects the shared vision to drive economic growth through sustainable practices.