[Bitcoin Now] Tesla's Pilot Mining Site Using Solar Power Drives Price Up

[Image source=Yonhap News]

[Asia Economy Reporter Lee Jung-yoon] The price of the representative cryptocurrency Bitcoin is showing an upward trend. This follows news that Tesla, the world's largest electric vehicle company, is establishing a pilot Bitcoin mining site utilizing solar power technology.

According to the global cryptocurrency market tracking site CoinMarketCap, as of 3:41 PM on the 10th, the price of Bitcoin rose 0.73% from the previous day to $42,770 (approximately 52.52 million KRW). At the same time, the price aggregated by the domestic cryptocurrency exchange Upbit recorded 53.27 million KRW, up 0.04% (21,000 KRW) from the previous day.

The Bitcoin price rose following news that blockchain company Blockstream plans to establish a Bitcoin mining site in Texas, USA, powered by Tesla’s solar power facilities and large-capacity batteries. On the 9th (local time), according to US economic media CNBC and others, Adam Back, CEO of Blockstream, said at the Bitcoin 2022 conference held in Miami, Florida, "The mining facility is designed to prove the concept of 100% renewable energy," adding, "It will demonstrate our claim that Bitcoin mining can fund carbon-zero power infrastructure and build future economic growth."

He also explained that Tesla’s solar power generation facilities and large-capacity Megapack batteries will be used to operate the computer equipment. Furthermore, he said the pilot mining site is being constructed with funding support from Block, a payment service company founded by Twitter founder Jack Dorsey (formerly Square). CEO Back added, "If the profitability of the pilot mining site is proven, we will expand this project to a stage that also utilizes wind power."

Meanwhile, the Digital Asset Fear and Greed Index by Dunamu, the operator of Upbit, recorded 51.59, indicating a 'neutral' stage. Compared to the previous day’s 51.82 (neutral), it fell by 0.23. Dunamu’s Digital Asset Fear and Greed Index is divided into stages of 'Extreme Fear (0?20)', 'Fear (20?40)', 'Neutral (40?60)', 'Greed (60?80)', and 'Extreme Greed (80?100)'. The greed direction indicates increased interest in buying by market participants, while moving toward fear indicates a market exit due to fear of asset decline, causing a chain reaction of price drops.