Photo credit: Getty Images
Ethiopia plans to establish a $250 million bitcoin mining and AI data center led by Russian bitcoin mining company BitCluster, marking a milestone in the country's efforts to integrate cutting-edge technologies such as bitcoin and artificial intelligence into its economic infrastructure.
Ethiopia aims to become a global digital economic leader, and is working to harness renewable energy sources to power bitcoin mining and AI development. One component of this ambitious effort is Project Mano, a plan to harness Ethiopia's renewable energy resources with the goal of serving as a blueprint for integrating these technologies into the Ethiopian economy.
The effort includes the construction of a 120-megawatt, 30,000-square-meter facility in Addis Ababa adjacent to the Kirinto high-voltage substation. The facility is strategically located to tap into Ethiopia's vast renewable energy resources, centered around hydroelectric power from the Grand Ethiopian Renaissance Dam, Africa's largest hydroelectric project. This sustainable approach will ensure an uninterrupted power supply, essential for the energy-intensive process of bitcoin mining, while also contributing to the country's environmental goals.
The facility's large capacity will support over 34,000 Antminer S21 200Th miners, adding a significant 6.8 EH/s, or about 1.2% of the total Bitcoin network hash rate. This development highlights the increasing emphasis on renewable energy in the Bitcoin mining sector, highlighting the geographic diversification of mining operations into regions that offer both climate benefits and renewable energy sources.
This is seen as a game changer for Ethiopia and fits in with the country's broader goal of becoming a hub for technological innovation and sustainable development. By harnessing the potential of renewable energy, Ethiopia aims to attract global attention and investment to its technology sector, creating new opportunities for jobs, growth and development.
The choice of Ethiopia for this investment reflects a growing trend among bitcoin miners to seek locations that offer cost-effective and sustainable energy solutions as well as a favorable regulatory environment.
As the Project Mano proposal highlights, Ethiopia's efforts to integrate Bitcoin mining into its economy could add $2-4 billion annually to its GDP. This strategic move could strengthen the country's economy, enhance its technological infrastructure, and position it as a leader in a clean-energy-driven Bitcoin mining future.
This development marks a significant moment for Ethiopia, demonstrating its readiness to embrace the opportunities that Bitcoin and AI bring. As the project unfolds, it is sure to draw global attention to Ethiopia's growing tech industry and commitment to sustainable, innovative economic development.
