Siberians Use Cryptocurrency Mining to Heat Homes

Citizens of the Russian city of Irkutsk, Siberia, have been using crypto-coal mining to heat their homes. Irkutsk attracted many criptomoedas miners due to the city’s cheap energy prices, reports RT.

Two entrepreneurs from Irkutsk have developed a floor heating system linked to mining hardware<. Local entrepreneurs Ilya Frolov and Dmitry Tolmachyov have developed a functional prototype for a underfloor heating system that uses the heat generated by mining equipment. Frolov commented on his prototype with the local media, stating that "generally mining machines are cooled by blowers; The heat is then released into the atmosphere. We do not consider this to be rational or ecological, so we have implemented a concept in which the heat of computing operations is used for the peaceful purposes of heating houses." Frolov and Tomachyov have stated that they intend to build about 2,000 "cryptohouses" by 2020 - with each unit providing heating through mining. More than a thousand people are mining crypto-coins in Irkutsk

The city is known as “informal mining capital in Russia”. Irkutsk will also host a bitcoin ATM, which was nominated in early October by Anton Friedel – the director of BBFpro, a company that recently installed ten bitcoins in Russia’s third most populous city.

Frolov claims that many criptomoedas miners are attracted to Irkutsk because of the city’s low energy costs – with RT reporting that energy prices in Irkutsk are about a fifth compared to Moscow.

In recent weeks, Mybroadband.co.za has published a story with a quote from Yury Dromashko, a Russian who sold an apartment to have capital needed to establish a bitcoin mining farm in Irkutsk. Mr Dromashko stated that “mining is a promising business that helps the Russians to earn a strong currency.”

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Tevaughn is s a student at MIT. Hes's based in Boston and has previously worked at AlterNet, blogged about economic policy at Campaign For America's Future and served on the steering committee at Americans for Financial Reform. In his spare time, he plays AC/DC on the ukulele and does psychic readings for B-grade celebrities. To contact Tevaughn, just click here

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