According to CoinDesk, BIT Mining has acquired a 51 MW power facility and nearly 18000 Bitcoin mining machines in Ethiopia through a $14 million deal. Due to Ethiopia's electricity costs being about 70% lower than those in the United States, the company was able to transfer old mining machines that were phased out in the United States to local use, thereby extending the lifespan of the mining machines by about two years. This model creates a positive feedback loop for BIT Mining, attracting more investment and increasing the return on investment of mining machines. Ethiopia's abundant hydropower resources (partly from Chinese funded projects such as the Great Ethiopian Renaissance Dam) and government support for Bitcoin mining provide unique opportunities for BIT Mining. Currently, Ethiopia contributes 1.5% of the computing power of the Bitcoin network, comparable to Norway. Despite facing social unrest, BIT Mining chooses to purchase existing facilities rather than build new ones to mitigate potential risks. In the future, BIT Mining plans to explore more investment opportunities in Ethiopia, including energy infrastructure, artificial intelligence data centers, and more Bitcoin mining projects. The company believes that the country has enormous potential with low-cost construction and resource advantages.
