The Tokyo Electric Power Company is evaluating its Entering the bitcoin Mining Space through its wholly owned subsidiary, Agile Energy x.
The main idea is to harness the excess renewable energy that is completely wasted. By making the most of this waste, TEPCO seeks to develop a better energy ecosystem while also contributing to the evolving debate on green energy in the cryptocurrency market.
Utilization of residual energy
While the concept of landfill energy for bitcoin mining is not entirely new, TEPCO’s initiative is unique in Japan. Kenji Tateiwa, president of Agile Energy x, believes its strategy would go a long way toward improving energy production.
He said:
“What we are doing has few parallels in Japan. The success of our framework would drive the introduction of more green energy.”
Typically occurring during the day, when demand may not meet supply, the concept is to harvest the additional energy generated during peak solar generation hours.
This initiative is very relevant, since Japan has set the goal of promoting bitcoin-mining-renewable/” target=”_blank” rel=”noopener nofollow”>renewable energy capacity by 2050. The country's energy landscape has been difficult, especially with changes following the Fukushima disaster, forcing countries to reconsider energy sources.
By combining bitcoin-mining.asp#:~:text=bitcoin%20mining%20is%20an%20energy,those%20that%20win%20the%20competition.” target=”_blank” rel=”noopener nofollow”>bitcoin Mining By incorporating renewable energy into its operations, TEPCO would not only reduce waste but also stabilize the grid in times of oversupply.
A new frontier for bitcoin mining
The high energy consumption and the consequent environmental impact have been widely criticized on more than one occasion when it comes to mining Bitcoins.
However, with the project presented by TEPCO, this could change. Indeed, the ease and speed with which bitcoin miners could operate, very different from that of normal energy consumption locations, means that excess energy could be absorbed by the miners themselves, thus contributing to the stability of the network. This is particularly important in a country like Japan, where the priority issue is the lack of energy.
bitcoin mining device used by Agile Energy x Inc. Image: Agile Energy x Inc.
Agile Energy x will test this framework in depth. The startup is preparing for a project that could transform the way energy companies view cryptocurrencies, even if mining hasn’t started yet.
The potential for bitcoin mining to be used as a financial incentive for renewable energy producers could incentivize more investments in green technologies. It’s a potential precedent that could be set not only for other energy companies in Japan, but also for a number of energy companies around the world.
Future implications of the cryptocurrency industry
As the global conversation on climate change intensifies, there is a growing call for the cryptocurrency industry to use more sustainable methods. This could be one such pilot project that would lead to incorporating a combination of renewable energy sources alongside bitcoin mining, thus helping to minimize carbon emissions from mining.
Featured image from The Miner Mag, chart from TradingView
