There’s a new entrant to the Bitcoin mining business. And it’s a European telecommunications giant.
What’s happening:
- European telecommunications company Deutsche Telekom has launched a new pilot project in which they are mining Bitcoin with excess renewable energy
Why it matters:
- Deutsche Telekom is the largest telecommunications company within Europe and is also the parent company of T-Mobile (NASDAQ: TMUS)
- This is the first time ever in the history of Deutsche Telekom that they have ventured into mining Bitcoin
Going deeper:
- The new Bitcoin mining project is located in Backnang, Germany and leverages excess renewable energy that is being generated from wind and solar projects within the country
- Private banking company Bankhaus Metzler is collaborating with Deutsche Telekom on the new pilot project and plans to use the data gathered to better understand both the profitability and scalability of mining Bitcoin through using surplus energy in the German power grid
The intrigue:
- Government led Bitcoin mining projects have also come into focus lately as a way for countries to begin using their natural resources and domestic power production to accumulate Bitcoin to hold as an asset, which is something Bhutan has done with exceptional success
