• News
  • Money

Iceland's bitcoin mines 'could pinch all the power'

Iceland's bitcoin mines 'could pinch all the power'

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

Johann Snorri Sigurbergsson, business development manager at the energy company Hitaveita Sudurnesja, said he forecasts Iceland's cryptocurrency mining to double the country's energy consumption up to 100 megawatts this year. Iceland is an attractive place for Bitcoin data centers to build because almost 100 percent of its energy comes from renewable sources.

Sigurbergsson noted: "What we're seeing now is ... you can nearly call it exponential growth, I think, in the [energy] consumption of data centres".

Iceland is one of the best places on Earth to mine Bitcoin, thanks in part to its cold climate, which naturally helps keep hardware from overheating and cuts down on costs associated with air condition and cooling systems.

He added: "I don't see it stopping quite yet".

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

According to experts, there are no grounds to predict any decline of interest of foreign companies in establishing their data centres in Iceland.

Helmut Rauth, who oversees the operation at a large Bitcoin mining company based in Iceland called Genesis Mining, was quoted by the Associated Press as saying that: "What we [cryptocurrency miners] are doing here is like gold mining".

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 cryptocurrency mining's new growth in the island nation has prompted a lawmaker for Iceland's Pirate Party, Smari McCarthy, to propose taxing the profits of the sector.

"Under normal circumstances, companies that are creating value in Iceland pay a certain amount of tax to the government", McCarthy explained.

The Pirate Party now holds 6 seats out of 63 in the Althing, Iceland's parliament, meaning that the party alone is unlikely to succeed in pursuing any kind of bitcoin mining tax on its own.

Now one of the most popular destinations for bitcoin mining could be facing the same problem as large cryptocurrency miners pile in to take advantage of the island's abundant geothermal and hydroelectric power plants.

Leave Your Comment

Leave Your Comment


Latest News

  • Here's how you can see the Oscar-nominated 'Get Out' for free

    Here's how you can see the Oscar-nominated 'Get Out' for free

    The film has four Academy Award nominations: Best Picture, Best Actor, Best Director and Best Original Screenplay. It's almost been one year since Jordan Peele's Get Out was released, and the film continues to make an impact.
    Google reportedly shipped 3.9 million Pixel and Pixel 2 devices in 2017

    Google reportedly shipped 3.9 million Pixel and Pixel 2 devices in 2017

    As hinted above, Google could have more success in attracting consumers by expanding the availability of the Pixel line. Additionally, in 2017, the company provided discounts on the smartphones and also launched the new and smartphones.
    BOILING POINT: Syria Threatens ISRAEL with 'Surprise' Attacks

    BOILING POINT: Syria Threatens ISRAEL with 'Surprise' Attacks

    When Syrian proxies attacked a USA -coalition position in Syria Feb. 7, US planes and missiles forced the aggressors to retreat. Moreover, capitulation to Israel's policy would have repercussions for Hezbollah and Iran's ability to embolden its ally.
  • Trump Administration Budget Aims Lunar Exploration

    Trump Administration Budget Aims Lunar Exploration

    The White House considered asking for $19.6 billion overall for NASA , 2.6% more than in the current fiscal year. The government has cited higher priorities at the US space agency for backing the cancellation.
    Ravens-Bears to meet in Hall of Fame Game on Aug. 2

    Ravens-Bears to meet in Hall of Fame Game on Aug. 2

    The early exhibition game means the Bears potentially could report to training camp July 18 and begin practicing July 19. He was selected All-Pro five times, voted to eight Pro Bowls and named to the NFL All-Decade Team of the 2000s.
    PSG's Unai Emery focuses on Real Madrid a year after painful exit

    PSG's Unai Emery focuses on Real Madrid a year after painful exit

    Neymar has starred for PSG this season, scoring 28 goals in 27 games in all competitions following his arrival from Barcelona . Los Blancos have had a miserable campaign in La Liga , now sitting in fourth place and 17 points behind leaders Barcelona .
  • Champions League: Harry Kane lauds Tottenham for showing character

    Champions League: Harry Kane lauds Tottenham for showing character

    Seven years ago, Harry Redknapp's side found themselves a goal down with 10 men after 15 minutes at the Bernabeu. His opposite number Massimiliano Allegri said his side had been taken aback by Tottenham's riposte.
    Valentine's Day is also Ash Wednesday

    Valentine's Day is also Ash Wednesday

    I would go to school and see people with crosses on their foreheads which opened up conversations about our shared faith. Along with fasting from food, he says it can include fasting from personal habits such as being judgmental or racist.
    India register first-ever ODI Series win in South Africa

    India register first-ever ODI Series win in South Africa

    Overall, Kohli is placed 16th in the world with South Africa's AB de Villiers just ahead of him with 9515 runs in 226 ODIs. Hashim Amla's 71 and Heinrich Klaasen's 39 were the only takeaways for the hosts, soon after which they collapsed for 201.
  • Iraq seeks Dollars  88.2 bln for reconstruction: minister

    Iraq seeks Dollars 88.2 bln for reconstruction: minister

    Large parts of Iraq's second-largest city, Mosul, are still in ruins, more than six months after it was retaken by the government. It will cost nearly $90bn (£65.1bn) to rebuild war-torn Iraq after three years of bitter fighting with Islamic State (Isis).
    Mikaela Shiffrin waits again as women's slalom postponed

    Mikaela Shiffrin waits again as women's slalom postponed

    Fierce and howling winds at the Pyeongchang Winter Olympics have led to safety concerns and thrown the alpine skiing schedule into disarray.
    Denmark's Prince Henrik dies in his sleep, just hours after coming home

    Denmark's Prince Henrik dies in his sleep, just hours after coming home

    Tasmanian-born Princess Mary and her husband, Prince Frederik, are reeling after the death of Denmark's Prince Henrik. The French-born prince had been hospitalized following an illness that began during a private trip to Egypt.
  • Russian mercenaries killed by USA  troops in Syria gun battle

    Russian mercenaries killed by USA troops in Syria gun battle

    Russian liberal presidential candidate Grigory Yavlinsky was one of many voices urging the Kremlin to come clean on the affair. US Defence Secretary Jim Mattis played down the incident, saying: "This could just be a local couple of guys doing something".
    Qualcomm Snapdragon X24 LTE modem sampling started

    Qualcomm Snapdragon X24 LTE modem sampling started

    That's a lot of jargon, but here's the key takeaway: the X24 can sustain high peak download speeds even on congested networks. In the uplink, the Snapdragon X24 LTE supports Category 20 upload speeds with 3×20 MHz CA and up to 256-QAM.
    Chipotle names Taco Bell chief executive Brian Niccol as CEO

    Chipotle names Taco Bell chief executive Brian Niccol as CEO

    Chipotle CEO and founder Steve Ells announced a year ago that he would step down in the CEO role and become executive chairman. Niccol was responsible for introducing mobile ordering and payment across Taco Bell's 7,000 locations across the US.
  • U.S.  expenditures in Middle East have been 'a mistake'

    U.S. expenditures in Middle East have been 'a mistake'

    Trump's pivot upset Palestinians who seek the city's Israeli-annexed eastern sector as a capital. The announcement also riled US allies in the Middle East like Jordan and Turkey.
    Retail inflation eases marginally to 5.07% in January

    Retail inflation eases marginally to 5.07% in January

    Inflation in January rose by more than economists had forecast, a report from the Bureau of Labor Statistics showed on Wednesday. This prompted markets to price in as much as a 70% chance of a quarter-point rise in interest rates by May.
    Decision on Honda Classic depends on soreness, says Tiger Woods

    Decision on Honda Classic depends on soreness, says Tiger Woods

    During that time away, when even Woods wasn't sure about his future in golf, he became more accessible to players. The PGA Tour heads to the Riviera Country Club in California this weekend for the Genesis Open .

Breaking News



Recommended

Indian police arrest most-wanted terrorist from Nepal border

Delhi Police claimed at least 165 people were killed and 535 injured in blasts in which Junaid was suspected to be involved. In three years, from 2014 till 2017, he met many IM sympathisers and in 2017, he started coming to India, police said.

Mourners bid farewell to Pakistan's human rights icon Asma Jahangir

As a woman-led organisation, we are indebted to the path that Asma paved for us through Pakistan's first women-run law firm, AGHS. She was the first woman lawyer in Pakistan to have been granted the status of senior advocate by the Supreme Court.

Falling trees and downed power poles hinder Tonga's Gita relief effort

Gita had pummelled Samoa and American Samoa, about 900km to the northeast, over the weekend, flooding the Samoan capital, Apia. The Tongan government declared a state of emergency on Monday, Feb. 12 and advised the public to stay off the roads.

Eating slower could help prevent obesity, researchers say

Pauses targeted at lessening the eating speed may prove effective in preventing obesity and reducing the linked health risks. Their weight was assessed using their body mass index ( BMI ) score and their waist circumference was also measured.

China urges USA to exercise restraint on steel trade actions

Last month , the Trump administration imposed a 30 percent tariff on solar panels and large washing machines. Trump nonetheless mentioned it again in Tuesday's meeting.

Mercedes Maybach S-class facelift revealed

The two twin scroll turbos are mounted within the "V" of the engine block which, among other things, helps minimize turbo lag. Now, though, the brand has announced a successor to the previous G's most ridiculous incarnation - the brutish AMG G 63.

New Horizons' Recently Captured Image Breaks Voyager 1's 27-Year Record

The space probe was even farther from home than NASA's Voyager 1 when it captured the famous "Pale Blue Dot" image of Earth . Now the unit is on its way to its new goal , the double asteroid 2014 MU69 to which he will arrive in January 2019.

THQ Nordic Buys Saints Row, Metro, Dead Island Owner, Koch Media

THQ Nordic's purchase will bring in house all of Koch Media's studios, intellectual properties, and licenses. The original THQ as we knew it declared bankruptcy and liquidated pretty much all its assets in 2013.

Chloe Kim's Olympic gold secures American dream for her family

Authorities even had to take her through an alternate entrance when she arrived in Seoul because press had mobbed the airport . As Kim admitted before the competition, she was already hangry after not finishing her breakfast sandwich .

HTC Smartphone Chief Resigns Effective Immediately, Citing 'Personal Career Plan'

HTC has also been manufacturing less smartphones in total and over the course of previous year it made less than 10m units. Some speculate that the HTC U12 might be the company's last flagship, but nothing is confirmed at this point.