Tech
Ethiopia’s $250 million tech expansion into Bitcoin and AI
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Ethiopia plans to create $250 million bitcoin mining and data center, led by Russian bitcoin mining company BitClusterThe project represents a milestone in the country’s journey towards integrating cutting-edge technologies such as bitcoin and artificial intelligence into its economic infrastructure.
Aiming to become a global leader in the digital economy, Ethiopia is leveraging its renewable energy sources to power the advancement of bitcoin mining and artificial intelligence development. One component of this ambitious initiative is Hand Project, a plan to harness Ethiopia’s renewable energy resources. The goal is to serve as a model for the integration of these technologies into Ethiopia’s economy.
The initiative involves the construction of a 120 megawatt, 30,000 square meter plant in Addis Ababa, adjacent to the Kilinto high voltage substation. It is strategically positioned to exploit Ethiopia’s vast wealth renewable energy resources, mainly hydropower from the Grand Ethiopian Renaissance Dam, Africa’s largest hydroelectric project. This sustainable approach ensures uninterrupted power essential to the energy-intensive process of bitcoin mining, while contributing to the country’s environmental goals.
The facility’s significant capacity will support over 34,000 Antminer S21 200Th miners, adding a significant 6.8 EH/s, or approximately 1.2% of the bitcoin network’s total hash rate. This development highlights the growing emphasis on renewable energy in the bitcoin mining sector. It highlights the geographic diversification of mining operations towards areas that offer both climate benefits and renewable energy sources.
This is seen as a turning point for Ethiopia, in line with the country’s broader aspirations to become a hub for technological innovation and Sustainable Development. By harnessing its renewable energy potential, Ethiopia aims to attract global attention and investment to its technology sector, creating new opportunities for jobs, growth and development.
The choice of Ethiopia as the site for this investment reflects a growing trend among bitcoin miners to look for locations that offer affordable, sustainable energy solutions and a welcoming regulatory environment.
As the Mano Project proposal highlights, Ethiopia’s initiative to integrate bitcoin mining into its economy could potentially add $2 to $4 billion per year to its GDP. This strategic move could strengthen the nation’s economy, improve its technological infrastructure, and position it as a leader in the clean energy future of bitcoin mining.
This development represents an important moment for Ethiopia, signaling its readiness to embrace the opportunities presented by bitcoin and AI. As the project unfolds, it will undoubtedly draw global attention to Ethiopia’s growing technology industry and its commitment to sustainable and innovative economic development.