Solar powered mining

Solar powered mining

Cryptocurrency miners have been coming up with new ways to generate blocks since 2009. Eco-activists believe that electronics are harmful to nature. This is because some countries use thermal power plants to generate cheap current. Cambridge scientists found that Bitcoin consumes more energy than the whole of Argentina. Due to the threat to the environment from thermal power plants, they developed solar-powered mining. This is a way to power the components through renewable sources. If all miners switch to green mining – there will be no harm to nature.

History of solar panel mining

The first study was conducted by CoinChares Research in 2018. Employees found that 80% of the energy consumed by mining is concentrated at HPPs (hydroelectric power plants). The rest is at thermal power plants (thermal plants). Square and ARK Invest have approved the possibility of using solar panels in cryptocurrency mining.

According to the research of investment companies, it is necessary to take into account the change in the power of the sun during the year.

The first country to ban mining is India. Holders of cryptocurrency face fines and criminal prosecution. China cut off power transmission to farms in the country in 2021 due to carbon emissions. The CIS has become an outlet for miners. For example, hashrate in Russia (3rd place) and Kazakhstan (2nd place) increased due to the migration of Asian data centers.

The installations take up additional space. SVC PC-100 with dimensions of 89 by 67 cm generates 100 watts of electricity. The CIS ranks first in the world in terms of land area, so devices for generating electricity will become relevant in Russia and Kazakhstan.

What you need for solar mining

For stable energy generation, you need to choose a lighted place. The following tools for installation will be required:

5020 $
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9.8

바이비트는 암호화폐 거래를 위한 편리하고 안전한 조건을 제공하며, 낮은 수수료, 높은 수준의 유동성, 시장 분석을 위한 최신 도구를 제공합니다. 현물 및 레버리지 거래를 지원하며 직관적인 인터페이스와 튜토리얼을 통해 초보자와 전문 트레이더를 돕습니다.

100 $ 보너스 획득

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9.5

암호화폐 세계에서 빠르고 안전하게 여정을 시작할 수 있는 최대 규모의 암호화폐 거래소입니다. 이 플랫폼은 수백 개의 인기 자산, 낮은 수수료, 거래 및 투자를 위한 고급 도구를 제공합니다. 간편한 등록, 빠른 거래 속도, 안정적인 자금 보호 기능을 갖춘 바이낸스는 모든 수준의 트레이더에게 최고의 선택입니다!

  • A roof or a wall on an undarkened land plot. Urban environments are inconvenient for installing panels due to the pollution of metropolitan areas.
  • Inverter. Electronics to convert alternating current to direct current.
  • Installations with a calculation of the electrical consumption of the farm. It is important to take a reserve for the upgrade of components.
  • Single-core copper cable with double insulation.
  • Connectors. Wires are needed to connect to the panels.
  • Protection. It is necessary to install a fuse and a circuit breaker.

How to organize the farm

In addition to the tools necessary for installation, you need to take into account the location of the equipment. To generate electricity, you need to observe the azimuth (direction to the south) and the angle of inclination of the equipment.

In the northern hemisphere, the panels need to be set at 180 degrees. The optimal value is equal to the geographic latitude of the region. In St. Petersburg, the tilt should be 60 degrees, vertical to the south.

Snow reduces the amount of energy produced. It is necessary to provide access for regular cleaning or install the panels vertically in winter.

Depending on the time of year, you need to change the angle by 12 points. In summer the angle needs to be increased and in winter the angle needs to be decreased. As a result, for Khabarovsk, the angle should be 36 degrees by December and 60 degrees by June.

수익성 계산

To calculate the benefit of green energy sources, you need to take into account the efficiency factor of the equipment. Square and ARK Invest have calculated the profitability of bitcoin mining. There are three factors:

  • Length of daylight hours. No energy will be produced at night. Also, in winter, dawn comes later and sunset earlier. This affects the uptime (time of operation of the equipment).
  • Panels take a long time to pay off. Battery operation will come to a plus in 8-10 years, depending on the farm.
  • According to Froomkin’s study, the internal rate of return on investment (IRR) on a renewable energy source is -99%. However, if you don’t sell half of the bitcoin mined for the duration of mining, the potential figure rises to 0% and a payback in 14 months.

According to the calculations, it is necessary to keep a part of the mined bitcoins on the wallet. However, the classic mining method is more profitable even with an uptime of 35% and a tariff of $0.05 per kilowatt – it pays off in 9 months with an IRR of 507%. In January 2023, green mining is unattractive as an investment.

We need to take into account the region of residence, the cost of equipment and the capacity of the farm. An example of calculation is shown in the table.

Region of residenceCost of solar panels (retail)Farm capacity
St. Petersburg
SVC RS-260 4231 one unit
1 Megawatt
Total:
$733k farm costs with an uptime of 25% in January 2023
Sochi
SVC RS-260 4231 one unit
1 Megawatt
Total:
$733k of costs with 37% uptime in January 2023

Prospects for solar mining

National governments are incentivizing data centers to switch to green sources of electricity to maintain farms. For example, Morocco has developed green energy projects (Plan Vert). In January 2023, they provide almost 40% of the country’s power, by 2030 the share should exceed 50%.

More than 10 large wind farms have been built in the country. Businesses and residences have been given incentives to invest in solar panels. For example, the government has removed subsidies on diesel fuel.

If the trend continues, mining via batteries will become more relevant in the coming years. Switching to green energy will make nature carbon-free.

Solar powered mining farms

The cost of electricity generating equipment is changing. For example, Marathon Digital Holdings will build a solar-powered mining farm in Texas. The panels will cover 70% of the data center’s needs.

On June 25, 2022, a farm with panels started operating in the United States. The data center was organized by Aspen Creek Digital. The capacity of the equipment is 6 megawatts. The firm announced the construction of two more data centers, which will be 5-20 times more powerful.

Solar powered mining
Aspen Greek Digital’s farm in Colorado, USA

결론

The pronounced disadvantage of the equipment is low uptime of mining hardware. If the electricity storage problem can be solved, the renewable source will become payback.

Nevertheless, by January 2023, large companies are showing interest in renewable sources. Governments of countries like China are showing concern due to the high energy consumption of mining. PV cells are an inevitable stage of the cryptocommunity.

자주 묻는 질문

📣 What other renewable energy sources are there?

Generating electricity can be done by wind farms. Also, green mining includes the use of the earth’s subsoil, biomass, waste, and hydrogen.

⚡ Is 100% uptime possible with thermal plants?

The operating time of the farm directly depends on the length of the daylight hours. The leaders in terms of sunshine remain Spain and the Republic of Cyprus. But even there, the uptime will not exceed 60%.

📢 Are the batteries safe for the environment?

Photovoltaic cells contain toxic substances. The equipment emits lead, copper and gallium when disposed of.

✨ How long can solar plants last?

Photovoltaic cells remain functional for up to 40 years. It is important to set up the infrastructure and replace damaged equipment in a timely manner.

📌 What is the price of a thermal battery?

The cost of a single panel is between $70 and $150. For example, the SVC RS-100 sells for $80. For a Bitmain AntMiner S9 ASIC with a consumption of 1320 watts, you need 14 devices.

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