A Russian company uses cheap hydropower in Siberia to mine and becomes rich as Bitcoin prices rise

A Russian company uses cheap hydropower in Siberia to mine and becomes rich as Bitcoin prices rise

According to Asia News Network on March 10, on the banks of the Angara River, 4,000 kilometers from Moscow, a Russian company operates a large data center that relies on local cheap hydropower. It is reaping the rewards of the soaring price of Bitcoin and plans to double its electricity output this year.

The company, called BitRiver, is installing equipment at its flagship 100-megawatt data center in the city of Bratsk, as well as at other smaller sites, to serve foreign miners of cryptocurrencies from the United States, Europe and Japan who want to take advantage of cheap energy in the region.

Chief Executive Igor Runets estimated the company could already be responsible for up to 2% of global bitcoin mining, but added that precise figures for the sector were hard to come by.

The price of Bitcoin has risen nearly 300% since early November and broke through $50,000 for the first time last month. With Tesla buying $1.5 billion worth of Bitcoin, other large companies and investment institutions have followed small traders in buying Bitcoin assets.