GRS Hydrogen Solutions Making Bitcoin Mining Green
GRS Hydrogen Solutions Making Bitcoin Mining Green

Canadian-based GRS Hydrogen Solutions, a global leader in creating Green and Blue hydrogen solutions for the world’s fight against climate change, has signed a contract with Canadian Registered RCG Mining to manage the heat recapture of their current and planned bitcoin mining operations.  

In recent years the production of heat and CO2 that is a result of bitcoin mining has become an important issue.  The required computing power necessary to mine bitcoin is part of an ever-increasing arms race.  To solve the mathematical problems that are at the heart of bitcoin mining, the miners are adding more and more computing power.  When bitcoin began, the use of a simple PC was all that was needed to mine the cryptocurrency, and the electricity needed to do so was negligible.  However, now there are specially designed rigs that are built for the sole purpose of mining bitcoin.  These rigs consume a lot of power and put off an excessive amount of heat to win the prize of newly minted (mined) bitcoin that results from creating each new block in the chain.

GRS Hydrogen Solutions is designing ways to help the bitcoin mining industry become greener, reducing the miners impact on global warming.  

Bitcoin Mining is a Dirty Business

At the end of 2021, the power consumption was 707 kWh for each bitcoin that is mined.  To 707kWh into perspective, a typical home would take nine years to reach an equivalent amount of electricity used at the cost of around $12,500.  In Jan 2022, a single bitcoin is worth over $35,000, nad has been over $60,000, so the economic return is worth the monetary cost, but there is still an environmental cost that has not been factored in.  The process of mining a single bitcoin emits 1,061 pounds, half a ton, of CO2.  There are still about 2 million bitcoin that will be mined before reaching the coded total supply of 21 million.  This additional bitcoin will add another 1 million tons of CO2 to our atmosphere, the same as driving a gasoline-burning car for 2.5 billion miles.

The use of so much electricity by the specialised processors required for bitcoin mining means significant heat produced by the rigs.  Some ingenious miners have realised that there could be a benefit to this excess heat.  And they have determined that it could be harnessed for other purposes rather than to just be wasted and released into the atmosphere.  Greenhouses, distilleries, and boilers have all repurposed the excess heat of bitcoin mining for their own use.

GRS Hydrogen Solutions Heat Recapture

GRS Hydrogen Solutions is developing its system in cooperation with RCG Mining to use the heat produced by its operations to warm greenhouses to grow food in cooler climates.  In Canada there is already a term “Mine for heat” used by farmers and other businesses that have decided to heat their greenhouses and other ventures with the customarily wasted heat created by the mining rigs.  Canada’s inexpensive energy and cold weather make it an ideal location to “mine for heat.”  Much of Canada’s electricity is produced from hydroelectric power, making it carbon neutral and a sustainable source of energy.  Other countries that have similar access to cheap and preferably renewable energy in the colder, more northern, and southern latitudes like Iceland, Norway, New Zealand, Russia, and Finland can all benefit from the use of excess heat. 

GRS Hydrogen Solutions and RCG Mining

RCG Mining has several bitcoin mining operations in the Czech Republic, and they have plans to begin further operations in both Ukraine and Norway.  GRS Hydrogen Solutions will be converting RCG’s current operations into sites that will capture the heat produced by the mining rigs and repurpose this heat.  GRS Hydrogen Solutions will also be directly involved in developing RCG’s new country sites to make them the most energy-efficient as possible.  

The sustainable mining model uses energy twice, first to mine bitcoin and then to provide zero-carbon industrial heating as needed.  These systems can generate constant and predictable heat year-round, which can be used or sold via heat offtake agreements.  

Mining bitcoin and farming can go hand in hand.  The steady stream of income supplied through bitcoin mining can supplement the boom and bust years that many farms must contend with.  Additionally, farming is a CO2 negative industry, and GRS Hydrogen Solutions is able to provide Carbon Credits for the waste heat recovery that is possible.  

GRS and Carbon Credits

The carbon credit industry is a burgeoning but quickly growing one.  A report issued by the U.N. Environment Programme stated that carbon markets could “help slash emissions,” providing clearly defined rules and the needed transparency to have a substantial effect.  Carbon credits are currently a 100% voluntary market; however, in a report from Ecosystem, the market should have reached a total of $6.7 billion by the end of 2021.  In a survey conducted by the International Emissions Trading Association, traders in the European compliance market are currently projecting that by 2030 the prices of carbon will increase to $67 per metric ton, which would mean an 88 percent increase over today’s prices.  

Because of the symbiotic nature of bitcoin mining and heat farming that is possible, GRS Hydrogen Solutions will be able to produce carbon credits beyond the heat that is used by the farming operations.   This CO2 E-waste heat recovery can be sold as an additional revenue stream that will increase in value as the Carbon credit market also increases. 

A New Pathway to Clean Success for GRS Hydrogen Solutions

This new GRS Hydrogen Solutions relationship will be a pathway for the highly polluting crypto mining industry to convert to a cleaner future.  GRS will be providing additional revenue streams while benefitting other sectors that can either use the heat directly or purchase the carbon credits.  When combined with the impact that the market for carbon credits will have on reducing carbon produced, GRS Hydrogen Solutions is on to an additional new pathway to success.