Thursday morning Bitcoin Magazine and Shell Oil announced an alliance that will showcase how Shell Oil reduces Bitcoin mining costs.
An Energy Alliance
Bitcoin Magazine made the announcement this morning after signing an agreement with Shell that spans the next two years. Shell will be the Bitcoin Conference sponsor for 2023 and 2024.
In an announcement late last summer, Shell began using immersion cooling solutions as fuel for their data centers. These data centers are very similar to the ones Bitcoin uses to mine its coins. Data centers make up 1% of the energy consumption globally, with cooling solutions making up one-third of that energy.
Government-Driven Energy Reduction
The Biden administration has made no secret that they have been looking into the energy costs of mining cryptocurrency. The U.S. hosts 38% of Bitcoin mining, a percentage that is up 3.5% over 2020. Currently, Ethereum is the number 2 user of electricity at 20-39% during mining, with Bitcoin’s 60 to 70% usage being number 1.
Coin validation and the use of the PoW mechanism to help prevent network hacking and malicious attacks are the leading causes of energy use. Globally crypto assets use 120 to 240 billion kilowatt hours yearly, the same amount of energy that Australia and Argentina use as a nation in the same year. Crypto mining is not only an energy suck but also contributes to the faster rate of climate change!
Bitcoin mining
How Shell Can Reduce Mining Costs
During the conferences in the next two years, Shell representatives will explain how their solution will reduce mining costs. The Immersion Cooling Fluid S5 X offers significant thermodynamic properties. These properties mitigate flow behavior and reduce energy costs by decreasing its high-cooling efficiency emissions.
Shell’s current goal is to reduce “scope one and two” emissions 50% by the beginning of 2030. Its ultimate goal is net-zero carbon emissions (greenhouse gas production vs. amount removed) before 2050. The use of blockchain, IoT, A.I., and Web3 are just some of the technology that will help Shell Oil reduce Bitcoin mining costs.
Bitcoin’s Embracing of Shell
While Bitcoin believes having Shell in the Bitcoin mining space is a boon to cryptocurrency, it’s not the first time Shell and Bitcoin have partnered. Bitcoin Depot has ATMs in Shell stations throughout the U.S. and Canada. The ATMs allow users to exchange their cash for crypto and add sums of money to their Bitcoin wallet.
Bitcoin Magazine CEO David Bailey feels the partnership with Shell is the start of large companies adding bitcoin strategies to their business. He believes the most significant benefit of Immersion Cooling Fluid S5 X will be its renewable energy and sustainability.
Shell Oil Corporation Logo
Bitcoin Conference 2023
The 2023 Bitcoin Conference takes place in Miami, Florida, from May 18th to 20th, 2023. This celebration of Bitcoin includes Matt Odell, Lyn Alden, Saylor, and Alex Gladstein as speakers. Shell representatives will also roll out the immersion cooling fluid helping Shell Oil reduce Bitcoin mining costs.
Ticket prices range from $499 to $6,499 depending on if you purchase general admission or Whale VIP passes. As we would expect, ticket purchases can be made with Bitcoin.
Crypto’s Future Relies on Energy Reduction
While climate change is not caused by crypto mining, mining uses more than its fair share of energy. If crypto wants the future the industry strives for, it will need to reduce its carbon footprint sooner rather than later. Subsequent crypto mining relies on partnerships between the industry and the largest energy corporations to find sustainable and renewable energy solutions. Energy reduction is not a Shell game!
