Ukraine considers using nuclear plants for Cryptocurrency mining
|Ukraine's Ministry of Energy believes that using power plants for crypto mining could be one of the best ways to take advantage of a current energy glut.
Cryptocurrency mining is a contemporary and efficient way to use excess energy, Ukraine's Ministry of Energy argued in a May 6 statement published on Facebook. According to the post, local nuclear plants have generated the surplus due to the COVID-19 lockdown.
The course toward digitalization
The bureau is now looking to apply progressive solutions to avoid wasting energy as part of the government’s course toward digitalization championed by president Volodymyr Zelensky. Leaving the situation unchanged might create “conditions for corruption offenses, which will ultimately be paid at Ukrainian citizens’ expense”, the ministry warns.
Crypto mining, in turn, could prove to be one of the efficient solutions, the post continues:
“There is a way to transfer this ‘liability’ into an ‘asset’. One of the modern approaches for using excess electricity is to devote it to cryptocurrency mining. That would not only allow to maintain the guaranteed load on the nuclear power plants, but also ensure that companies can attract extra funds. Therefore, it would open the way to a fundamentally new economy, new approaches, a new market model.”
As previously reported by a Russian-language crypto news outlet Forklog on May 5, the acting head of Ukraine’s Ministry of Energy requested the state-owned enterprise Energoatom to study potential ways to implement cryptocurrency mining at the country’s nuclear energy generating facilities by May 8.
A potentially profitable operation?
Power plants have been used for cryptocurrency mining before, although not on a government scale. As reported by Cointelegraph in March, a privately-owned power plant in New York’s Finger Lakes region turned to Bitcoin (BTC) mining, adding about $50,000 worth of BTC each day to daily revenues.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.