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Effectively, a bunch of computers engage in a race to burn through the most electricity possible and, every 10 minutes, one wins a prize of As the price of bitcoin has risen, so too has the amount of electricity that it is economical to use in order to get the rewards. One recent estimate pegged the energy consumption of the entire network as equivalent to that of the Republic of Ireland.
But the news from Iceland is the first time cryptocurrency mining within one nation has overtaken productive uses of electricity. Why is Iceland so popular? The answer is simple: location, location and volcanoes. Volcanoes provide Iceland with a cheap and abundant form of renewable energy. The high-tech barn seems worlds away from the geysers, waterfalls, and lagoons that inspire 2. The Nordic island country straddles the Mid-Atlantic Ridge, where the Eurasian and North American tectonic plates meet, molding a volcanic terrain webbed by glacial rivers and studded with gemstone-aquamarine lakes.
It wasn't long after Bitcoin 's creation, on January 3, , that cryptocurrency companies began moving to Iceland. In , large data centers accounted for nearly 1 percent of its GDP, with cryptocurrency mining operations making up 90 percent of those. That tension intrigues Barnard. She became interested in cryptocurrencies while working on her new book The Canary and the Hammer , a visual exploration of gold.
According to Landsvirkjun. crptocurrencyupdates.com › Business › Cryptocurrency. A more recent entrant to Iceland's industrial landscape are cryptocurrency miners, lured in by the cheap electricity needed for mining new.