Blockchain company Bitfury announced on Thursday, January 31, that it has partnered with the South Korean R&D-focused Commons Foundation to establish bitcoin mining operations in Paraguay. The effort is part of the foundation's Golden Goose project, which aims to establish "the world's largest cryptocurrency mining center."
Under the partnership, the two organizations plan to build various bitcoin "transaction processing sites" in the South American country. The sites will reportedly receive their energy from two Paraná River hydroelectric dams: Itaipú, which straddles the border of Brazil and Paraguay, and Yacyretá, located between Argentina and Paraguay.
Currently, only about 50 percent of the power produced from these two dams is used within the country. The planned mining operations may provide Paraguay with an opportunity to tap into more of its clean energy resources.
"Paraguay is exploring creative ways to use emerging technologies, like blockchain and cryptocurrencies, to benefit their economy and their citizens, and this partnership with strategic allies like Commons Foundation and Bitfury will provide the infrastructure that enables them to advance those efforts," said Sandra Otazú Vera, a Paraguayan attorney and an advisor to the Commons Foundation.
Bitfury and the Commons Foundation are not the only two groups looking to use renewable energy for mining-related activities. Last summer, for example, New York-based computing company Soluna announced it would develop a wind-powered center in southern Morocco as a cleaner alternative to crypto mining. The company's CEO, John Belizaire, said Soluna's "vision is to power the blockchain with clean, renewable energy that we own and control."