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Mining company buys fossil fuel power plant

The US bitcoin miner Stronghold Digital takes the energy supply of its crypto businesses into its own hands – with its own fossil power plant.

Pennsylvania-based crypto company Stronghold Digital Mining has, according to boughtTechspot an old power plant. There it burns toxic coal waste to generate electricity for in-house Bitcoin production. The company describes itself as environmentally friendly.

The scrub grass power plant was considered financially troubled and currently provides electricity for 1,800 mining rigs that Stronghold has set up in shipping containers right next to the plant. By 2022, the company wants to ramp up electricity production to such an extent that enough energy is available for 20,000 mining stations.

The fuel from the power plant is a particularly environmentally harmful residue from coal mining. These are contaminated with various pollutants and contaminate the earth as well as the air and groundwater in former mining areas. Stronghold collects the coal waste from surrounding regions and thus frees formerly contaminated areas from the harmful material. The ashes from the incineration are used as fertilizer to restore the flora in the areas.

Local environmental protection, but high CO2 emissions

In this endeavor, the company works with the local authority for environmental protection. The states that Stronghold has already cleared around 1,000 hectares of land. Despite the locally positive effects on the environment, the burning of coal waste produces enormous amounts of CO2 and thus damages the global climate.

In doing so, Stronghold Digital Mining is undermining the mining industry’s recent ambitions to reduce its ecological footprint. The production of cryptocurrencies has been criticized for some time because of its miserable ecological balance. In May 2022 Tesla CEO Elon Musk had the price of Bitcoin taken shaken by publicly expressed criticism of its energy consumption. It was also Muskthe who initiated the founding of the Bitcoin Mining Council, an association of crypto companies that have jointly committed to a sustainable transformation of the industry. A farmer in Great Britain recently showed that crypto mining can also be more sustainable. He mines Ethereum with cow dung.