Gridless mining firm secured $2 million in funding.
The funding round was co-led by Jack Dorsey's Block Inc. and Bitcoin venture capital firm Stillmark.
The funding assists Gridless to expand its operation in Africa.
Block Inc. aims to make bitcoin mining accessible for everyone via this funding.
FTX's collapse whereas on the other hand, companies with a stable foot like Block Inc., are looking for opportunities to invest in the crypto industry.
Block, Inc., formerly Square Inc., is a multinational tech company headquartered in the United States that was founded in 2009 by Jack Dorsey and Jim McKelvey and debuted its initial platform in 2010. In recent years, the company has made significant investments in crypto projects.
Recently, Block Inc. and Stillmark lead a funding round for bitcoin mining firm Gridless which secured $2 million in seed investment.
Gridless is a mining firm that seeks to harness surplus energy from small-scale renewable energy sources in rural Africa. It has signed contracts with HydroBox, an African hydroelectric energy company, for five project pilots in rural Kenya, three of which are currently operational.
Bitcoin mining: It is the process of creating new bitcoin or cryptocurrency by solving puzzles. It entails massive, decentralized networks of computers all over the world that verify and secure blockchains. The verification process consumes a significant amount of energy.
These high energy consumption concerns affect the revenues of the mining firms that’s why several bitcoin mining companies are opting for renewable energy sources to mine cryptocurrency.
The funds will be used to assist the company's aims to expand Bitcoin mining operations across African markets. Erik Hersman, CEO of Gridless, commented on the recent development, saying:
“Africa needs low-cost electricity. Our work assisting renewable energy mini-grid companies fills a void, allowing developers to expand more quickly, be more sustainable, and serve thousands more people. We can expedite our rollout since we have both the financial and strategic assistance we need thanks to this investment and the excellent grade of partners who are joining us.”
Hersman further added,
“While bitcoin mining has been dominated in North America, Europe, and Asia, Africa represents a fantastic potential to diversify mining across the globe, thereby helping to secure the network.”
Gridless CEO's claims clearly highlight how significant this funding is for the firm. This will assist the firm in expanding its network in Africa.
Block Inc. is setting up an example of how, in difficult circumstances, the company led and successfully concluded a funding round. This implies that other prominent companies should also come forward and assist the crypto firms to help them expand and prevent a liquidity crisis.
What do you think, will the usage of renewable energy have a favorable impact on the revenue of bitcoin mining companies? Share your thoughts in the comment section below.
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