Bitcoin Mining: Phoenix Group Boosts Capacity with Massive Ethiopia Expansion
The world of cryptocurrency is constantly evolving, and significant moves are happening in the **Bitcoin mining** sector. One such development comes from Phoenix Group, a prominent player making strategic expansions in energy-rich regions like **Ethiopia**. This news is particularly relevant for anyone following the growth and geographical shifts within the global mining industry.
Phoenix Group Expands **Mining Capacity** in Ethiopia
Phoenix Group recently announced a substantial increase in its operational capabilities in Ethiopia. The firm added 52 megawatts (MW) of mining capacity to its existing infrastructure there. This addition brings their total capacity within the country to 132 MW.
This expansion is part of a larger global strategy. Phoenix Group’s total worldwide mining capacity now reportedly exceeds 500 MW, positioning them as a significant force in the market.
Munaf Ali, co-founder and CEO of Phoenix Group, emphasized the core principle driving their expansion efforts: securing locations that offer abundant and low-cost energy resources. He stated that initiatives like the latest expansion in Ethiopia are key steps in creating value and solidifying the company’s market position.
Building on Previous Agreements in **Ethiopia**
This expansion follows a prior agreement Phoenix Group secured in January, granting them rights to 80 MW of power in Ethiopia. The 52 MW addition detailed in the recent announcement is being developed in phases at a new site.
- **Phase One:** This initial stage utilizes 20 MW of power to run 5,300 air-cooled mining units. This phase is expected to achieve a hashrate of 1.2 exahashes per second (EH/s).
- **Phase Two:** Projected for completion by the end of Q2 2025, this phase will utilize the full 52 MW capacity at the site. It will incorporate water cooling technology and is estimated to produce a hashrate of 2.4 EH/s.
For context, an exahash measures the computational power in cryptocurrency mining networks. It quantifies the trillions of calculations a network can perform each second, indicating its speed and efficiency.
A Focus on **Renewable Energy**
A key highlight of Phoenix Group’s operations in Ethiopia is the power source. Reza Nedjatian, CEO of the firm’s mining, AI, and data center subsidiary, confirmed that the 132 MW capacity in Ethiopia runs on clean hydropower.
This commitment to utilizing renewable energy sources sets a notable benchmark for sustainable mining operations, particularly in Africa. It aligns with increasing calls for the cryptocurrency mining industry to reduce its environmental footprint.
More Than Just **Bitcoin Mining**: The Phoenix Group Profile
Phoenix Group became a publicly traded entity in late 2023 following its listing on the Abu Dhabi Securities Exchange. Their initial public offering (IPO) saw significant demand, being oversubscribed 33 times.
Beyond its mining activities, Phoenix Group is involved in other digital asset initiatives. For example, they partnered with Tether and Green Acorn Investments on plans to launch a new stablecoin pegged to the UAE dirham.
The company is recognized for undertaking large-scale projects, including a significant $187 million purchase of Bitcoin mining equipment in early 2024. Their strategic approach appears focused on large-scale operations and leveraging energy advantages in key regions.
In Summary
Phoenix Group’s expansion of its **Bitcoin mining** operations in **Ethiopia** by adding 52 MW, bringing the total to 132 MW, underscores their strategy of targeting regions with access to low-cost, abundant energy. The focus on **renewable energy**, specifically hydropower, for this substantial **mining capacity** also highlights a move towards more sustainable practices in the sector. This development is a significant step for **Phoenix Group** and reflects the ongoing global shifts and technological advancements within the **Bitcoin mining** landscape.
