Latest Mining News and Insights | Yellow.com

Ethiopia is quietly transforming into a major Bitcoin mining hub on the African continent. The country's abundant hydropower resources are being harnessed to fuel a growing crypto mining industry. Ethiopian Electric Power (EEP) has allocated 600 megawatts (MW) to Bitcoin miners operating within the country. This significant commitment places Ethiopia fourth globally in Bitcoin mining hash rate contribution, behind only the United States, Hong Kong, and Asia. Ethan Vera, co-founder and COO of Luxor Mining, recently toured state-approved mining facilities in Ethiopia. He reported that several hundred additional megawatts are expected to come online later this year. The Antminer S19J Pro is the preferred mining rig among Ethiopian operators. It boasts an efficiency of 30 J/TH and a hash rate capacity of approximately 100 TH/s per unit. Vera noted the impressive infrastructure surrounding these mining farms. Water walls have been installed to accelerate heat dissipation. However, the region's cold climate renders these cooling systems largely unnecessary for most of the year. Ethiopia's current mining capacity represents about 2.25% of the total Bitcoin hash rate. This makes it a significant player in the global crypto mining landscape. The country's rise as a mining hub began in the wake of China's 2021 ban on Bitcoin mining. Many Chinese miners relocated to Ethiopia, attracted by its abundant hydropower and favorable regulatory environment. Ethiopia Legalized Bitcoin mining in 2022. Since then, the government has been heavily funding infrastructure to boost the sector. The state's investment arm, Ethiopian Investment Holdings (EIH), lately signed a $250 million memorandum of understanding with West Data Group based in Hong Kong. This cooperation seeks to build infrastructure for operations involving data mining and artificial intelligence training. The International Trade Association claims Ethiopia has 5,250 MW of installed generating capability. Of this power, an astounding ninety percent comes from environmentally friendly hydropower plants. Despite this plenty, just half of Ethiopia's people have access to electricity. The government is eager to profit from the notable excess this leaves. Although plans call for selling extra electricity to surrounding nations, building transmission infrastructure is too expensive. One practical substitute that lets Ethiopia make use of its excess electricity without large infrastructure spending is bitcoin mining. Ethiopia is positioning itself as a major actor in the worldwide Bitcoin network as it keeps expanding its crypto mining industry. The nation's dedication to using its natural resources for this growing sector could have wide-ranging effects on its economy and the larger African tech scene.

Two long-dormant Bitcoin addresses have recently become active. These movements have caught the attention of cryptocurrency watchers. The transactions highlight Bitcoin's significant price appreciation over the past decade. Blockchain monitoring service Whale Alert reported the activity on social media platform X. The first transaction involved 100 Bitcoin (BTC) worth $6,113,890. This address had been inactive for 10.8 years. A 'whale' in cryptocurrency parlance refers to an individual or entity holding a large amount of a particular cryptocurrency. Whales can potentially influence market prices through large buy or sell orders. Their movements are closely monitored by traders and analysts. The value of the first wallet has increased by over 7,222% since 2014. At that time, its 100 BTC were worth only $83,492. The dramatic rise underscores Bitcoin's volatile price history. A second dormant address also became active last week. It contained 99 BTC, valued at $6,097,440. This wallet had been inactive for 10.7 years. Combined, these two addresses moved 199 BTC. The total value exceeded $12 million at current market prices, so these transactions demonstrate the potential for long-term gains in the cryptocurrency market. Similar transfers were observed last month. Those were attributed to Bitcoin miners from 2009. Early miners received 50 BTC as a reward for each block mined. The reactivation of old wallets can have various implications. It may signal long-term holders deciding to sell. Alternatively, it could represent lost keys being recovered, so the true reasons often remain speculative. Anyways, these movements offer a glimpse into Bitcoin's early days. They showcase the potential returns for early adopters. However, they also highlight the risks and volatility inherent in cryptocurrency investments. The cryptocurrency landscape has evolved significantly since 2014. Regulatory frameworks have developed. Institutional interest has grown. Yet, the reemergence of these 'whale' wallets serves as a reminder of Bitcoin's origins and its long-term value proposition.

Bhutan, the tiny Himalayan kingdom known for its "Gross National Happiness" index, has a surprising new claim to fame. The Buddhist nation is secretly hoarding a massive Bitcoin fortune. Data sleuths at Arkham Intelligence have blown the lid off Bhutan's crypto stash. The kingdom owns a whopping 13,011 BTC, worth about $780.49 million. This revelation is a real head-turner. It puts Bhutan in the big leagues of government Bitcoin holders. "Bhutan is the 4th largest government with Bitcoin holdings on our platform, with over $750M in BTC," Arkham tweeted. But here's the kicker: unlike other governments, Bhutan isn't sitting on seized assets. The kingdom's Bitcoin comes from its own mining operations. And they've been ramping things up since early 2023. Druk Holdings, Bhutan's investment arm, is behind this crypto push. They've set up mining facilities across the country. The biggest operation? It's on the site of a failed "Education City" project. Arkham's sleuths didn't stop at blockchain data. They've been playing detective with satellite imagery too. "We were able to corroborate the timeline of on-chain mining activity with time-lapse satellite imagery of facility construction," Arkham noted. Pretty nifty, right? But Bhutan isn't going it alone. In May 2023, they teamed up with Bitdeer for a 100% carbon-free mining operation. Earlier this year, Bloomberg reported that Druk Holding & Investments and Bitdeer were thinking big. They're planning to boost mining capacity from 100 to 600 megawatts. Bhutan's eco-friendly mining approach is no accident. The kingdom's flush with hydropower, making it a prime spot for green Bitcoin production. This crypto venture is a far cry from Bhutan's traditional image. The kingdom, nestled in the eastern Himalayas, is known for its stunning monasteries and pristine landscapes. Bhutan's embrace of Bitcoin mining represents a bold step into the digital age. It's a stark contrast to the country's carefully preserved cultural heritage. The kingdom has long prioritized environmental conservation. Its constitution mandates that 60% of the land must remain forested. Bhutan's Bitcoin strategy could potentially boost its economy. The country has been grappling with youth unemployment and a growing national debt. However, the volatile nature of cryptocurrencies poses risks. Bhutan's significant Bitcoin holdings could expose it to market fluctuations. The kingdom's move into crypto mining also raises questions about energy use. While Bhutan's hydropower resources are substantial, balancing power needs with environmental goals could prove challenging. As Bhutan navigates this new digital frontier, the world watches with interest. The Dragon Kingdom's Bitcoin gambit could reshape its economic future - for better or worse.

Bitcoin's mining hashrate has hit a new all-time high. This comes despite the cryptocurrency's recent price slump. The move suggests miners are betting on a future rally. The hashrate measures the total computing power on the Bitcoin network. It's a key indicator of network health and miner confidence. A rising hashrate typically signals optimism among miners. On-chain data shows the 7-day average hashrate recently spiked. This push came near the end of July and set a new record for the metric. But the high was short-lived. The indicator saw a rapid decline soon after. It wasn't until mid-August that the metric started to recover. This recovery held steady for a while. But the indicator ended August on a low note, simply retreating to earlier lows. Why the rollercoaster ride? The answer might lie in Bitcoin's price action. Miners make most of their money from block rewards. These rewards are fixed in Bitcoin terms. They're also given out at regular intervals. So, there's really only one variable that matters: Bitcoin's dollar value. When the price goes up, so does miner revenue. It's that simple. The late July hashrate peak coincided with Bitcoin's rally towards $70,000. The subsequent decline? That happened as the asset took a nosedive. But here's where things get interesting. Since September started, the hashrate has been climbing. And get this - it's happening while Bitcoin's price is tanking. It's a head-scratcher, for sure. But it suggests miners are feeling gutsy. They're expanding operations, likely betting on a future price surge. We've seen this movie before. Earlier this year, a similar hashrate trend preceded Bitcoin's rally to its all-time high price.

Marathon Digital Holdings is making waves. The US-based Bitcoin mining firm has a new trick up its sleeve. They're stamping "Made in USA" on all Bitcoin blocks they mine stateside. The company announced this move on X. "MARA is Team USA, proudly declared in each American-made bitcoin block we mine," they wrote. CEO Fred Thiel is all in on this patriotic push. He's committed to labeling US-mined blocks with the stamp. Every block from their MARA Pool in the States will get the "Made in USA" tag. Thiel's pretty chuffed about it. He reckons Marathon's the only big player who can pull this off. "The only large scale miner who can do this because we run our own pool," he boasted. This stunt follows Donald Trump's recent Bitcoin comments. The presidential hopeful wants all remaining Bitcoin to be "Made in the USA." He made this claim on his social media platform, Truth Social. Trump sees Bitcoin as a potential shield. He thinks it could be "our last line of defense" against a central bank digital currency (CBDC). But not everyone's on the same page. Federal Reserve Chair Jerome Powell said in March that the US is "nowhere near" any form of CBDC. At the Bitcoin 2024 conference, Thiel shared his two cents. He reckons Bitcoin mining could "flourish" under Trump. The exec thinks Republicans have "seized the day" on this topic. Marathon Digital isn't just stamping Bitcoin. They're also buying it up like there's no tomorrow. On July 25, they snapped up $100 million worth of BTC as a treasury reserve asset. The company's going "full hodl" on Bitcoin. That's crypto-speak for holding onto their coins for dear life. They're not stopping there, either. On August 12, Marathon announced a $250 million offering of senior convertible notes. The plan? Use the cash to buy even more Bitcoin. Looks like they're betting big on the red, white, and blue of Bitcoin mining.