Russian governor proposes gas-powered Bitcoin mining solution
Irkutsk’s governor suggests Bitcoin miners partner with oil firms to use associated gas for mining, addressing energy shortages and environmental issues.
A Russian provincial governor has proposed a solution to Bitcoin mining-related energy shortages. He suggested that associated gas from oil drilling sites could power mining operations.
Irkutsk Governor Igor Kobzev suggested that crypto miners collaborate with oil and gas companies to build data centres powered by alternative fuels. The suggestion comes amidst mounting energy concerns, especially after the recent year-round ban on Bitcoin mining in southern Irkutsk.
Governor Kobzev stated that the regional government supports Bitcoin mining but is committed to ensuring reliable electricity for residents and businesses.
He pointed out that mining operations should address the region’s electricity shortages. The government is ready to facilitate partnerships between miners and the oil and gas sectors.
Russian companies like BitRiver and Gazprom Neft have already experimented with using associated gas to power crypto mining facilities.
The Ministry of Energy is reportedly considering additional regional mining bans due to the strain on electricity networks.
Despite concerns, Governor Kobzev supports associated gas-powered mining, viewing it as a solution to reduce flaring and the environmental impact.
Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!
About author
DW Team
The GIP Digital Watch Observatory team, consisting of over 30 digital policy experts from around the world, excels in the fields of research and analysis on digital policy issues. The team is backed by the creative prowess of Creative Lab Diplo and the technical expertise of the Diplo tech team.