- Ukraine announced that it plans to build large data centers near many nuclear power plants. These centers will eventually be used to mine cryptocurrencies and to store important documents. The news shows that Bitcoin and cryptocurrency are becoming more popular around the world.
Ukraine announced that it plans to build large data centers near many nuclear power plants. These centers will eventually be used to mine cryptocurrencies and to store important documents. The news shows that Bitcoin and cryptocurrency are becoming more popular around the world.
There are discussions about how much energy is required for the facility
There are already opposing reports on how much electrical energy will be required for the mining facilities to be built. While the Ukrainian government publishes reports that between 250 and 500 MW will be needed, state-owned utilities company Energoatom claims that between two and three GW of energy will be required to run operations.
Currently, Ukraine reports that there is an excessive amount of electrical energy generated by nuclear power plants. Mining facilities are seen as ways in which power can be used well. It is also stated that the operations can reduce the current problems with the country’s transmission systems.
Which companies will run the facility?
Energoatom has now signed a contract with a company known as H2 LLC to build the first data center, near what is known as the Zaporizhzhia Nuclear Power Plant, the undisputed largest nuclear facility in all of Europe. The facility is only about 200 kilometers from Donbass, which has suffered from recurrent wars over the years.
Additionally, H2 will also be commissioned to build a new $ 300 million hydrogen electrolysis facility, while the mining facilities will be overseen and monitored by Bitfury, a Dutch cryptocurrency mining company. Ukrainian President Petro Kotin said in an official statement:
We would like to thank Energoatom and Bitfury Holding experts who took part in the preparation of the Memorandum and for completing the first phase of their engagement. This is the start of a large and complex work that will allow solving some strategic tasks for Energoatom as well as for Ukraine as a state.
Big day for Ukraine 31 August 2022
Currently, the primary fund for mining projects comes from a firm known as Yom Capital. While information on Yom is relatively scarce for now, the company is reported to be working hand in hand with several leading pharmaceutical businesses in the regions of Cyprus, Greece and the United Arab Emirates to increase the production of test materials for coronavirus.
The construction of the mining facilities is not expected to be completed in another year and a half, and the projected completion date is stated as August 31, 2022. Ukraine is one of the few countries that do not implement any licensing measures for those who want to mine cryptocurrencies. The country has also discussed the possibilities of taxing Bitcoin and crypto earnings up to five percent in the past.