Large European Power Company Will Not Sell Electricity to Crypto-Miners

eight5nine (35)in #cryptocurrency • 7 years ago

This week one of Europe’s largest power companies, Enel, has announced the firm has absolutely “no interest whatsoever in selling power” to cryptocurrency miners.

One of Europe’s Largest Power Companies Allegedly Evaluated Cryptocurrency Mining Operations

Large European Power Company Will Not Sell Electricity to Crypto-MinersThe Italian multinational renewable-energy corporation located in Rome, Enel, made a statement on Thursday that explains it will not sell power to data centers who plan to mine cryptocurrencies. According to the financial publication Bloomberg the company was allegedly discussing a deal with a Switzerland-based cryptocurrency business called Envion AG. The news outlet stated that “according to people with direct knowledge of the matter” Enel was evaluating the market to sell power to bitcoin and other digital asset miners. Further, a company executive also commented on the mining evaluation story.

“Enel is particularly interested in understanding how the energy business can benefit from the blockchain technology,” the head of the firm’s front trading office, Leonardo Zannella said at the time.

Cryptocurrency miners who can move their facilities to places where electricity is cheap might have advantages.

Enel Changes Its Tune “No Interest Whatsoever In Selling Power” to Cryptocurrency Miners

However, subsequently after the alleged discussions, the power company changed its tune. Enel says it takes pride in providing “green power” deriving from biomass and incineration practices, geothermal resources, hydroelectricity, wind, and solar power. Moreover, the company believes that cryptocurrency mining cannot be maintained in an environmentally friendly way.

“Enel has undertaken a clear path toward decarbonization and sustainable development,” explains a spokesperson this past Thursday.

The intensive use of energy dedicated to cryptocurrency mining as an unsustainable practice that does not fit with the business model it is pursuing.

The news follows the swathes of Chinese miners looking for new residency in other areas around the world. Just recently Bitmain Technologies said it was looking for properties in Canada and also launched a subsidiary in Zug, Switzerland. Enel’s decision may be seen as a small obstacle as miners can utilize more friendlier power companies willing to sell cryptocurrency miners power. Although the firm has operations in sixteen countries across Europe, North America and South America. The company controls a majority of power operations in Spain as well.

What do you think about Enel saying they won’t sell power to cryptocurrency miners? Let us know in the comments below.