How can we use natural gas extracted with oil when it is disconnected from the gas pipeline network and far from electricity networks? Simple, to generate electricity used to mine Bitcoin.
State energy company YPF’s subsidiary, YPF Luz, recently partnered with Genesis Digital Assets (GDA) to launch a mining facility powered by gas flares. This facility will leverage 1,200 machines to monetize the gas currently being burned into the atmosphere.
This comes as Argentina takes a pro-Bitcoin stance, as indicated by President Milei.
By reusing stranded gas that is currently being flared from oil wells, GDA estimates that its mining operation could reduce up to 63% of carbon emissions, which demonstrates how Bitcoin mining can turn energy byproducts into use productive.
The founder of GDA, Abdumalik Mirakhmedov, said:
“This will be another opportunity to demonstrate to the world that Bitcoin mining can have a positive effect on the environment and can be fully integrated into local communities.”
YPF Luz uses these BTC to offset costs and promote the environmental sustainability of the plant.
For GDA, this means competitive energy prices and reduced carbon emissions for its mining operations. For Argentina, it is a sign of leadership in leveraging Bitcoin mining to improve energy infrastructure.
The news mirrors how other countries are using Bitcoin mining to “clean” energy grids. Bhutan mines Bitcoin with renewable hydropower to consume its seasonal excess, while El Salvador uses geothermal energy to power mining without a carbon footprint.
Mirakhmedov cited Argentina’s energy resources and friendly regulations as ideal conditions for the facility.
As Bitcoin mining expands around the world, projects like GDA and YPF represent a model for reducing stranded gas through productive Bitcoin mining.
Thanks to our Telegram channel you can stay updated on the publication of new Economic Scenarios articles.
⇒ Sign up right away ⇐
