Bitcoin's first volcano node goes live while BTC targets $50,000
- El Salvador has mined nearly $500 worth of Bitcoin using its volcano node.
- President Nayib Bukele's announcement on Twitter could dispel the "Bitcoin is not green" narrative for good.
- Despite several protests against the acceptance of Bitcoin, Chivo wallet users are on the rise.
El Salvador is making strides in the adoption of Bitcoin. The Bitcoin mining setup powered by a volcano is still being tested and installed, BTC has started pouring in.
Volcano-powered Bitcoin node currently being tested in El Salvador
Nayib Bukele, President of El Salvador, revealed the latest updates on the Volcano node through a tweet earlier today.
— Nayib Bukele (@nayibbukele) October 1, 2021
The country recently launched its state-owned geothermal Bitcoin mining facility and mined nearly $500 worth of Bitcoin. The Salvadoran government intends to increase Bitcoin mined over time, as the node is currently undergoing tests.
Earlier this week, President Bukele shared a video of the facility that uses geothermal energy for Bitcoin mining. BTC has faced massive criticism worldwide for its high energy consumption. The use of geothermal energy for mining BTC is likely to leave the narrative of “Bitcoin is not green.”
I’ve just instructed the president of @LaGeoSV (our state-owned geothermal electric company), to put up a plan to offer facilities for #Bitcoin mining with very cheap, 100% clean, 100% renewable, 0 emissions energy from our volcanos
— Nayib Bukele (@nayibbukele) June 9, 2021
This is going to evolve fast! pic.twitter.com/1316DV4YwT
Experts believe that zero emissions and cleaner Bitcoin mining are expected to drive the demand for BTC higher. Institutions that criticized the cryptocurrency’s usage of computing power are likely to turn to the asset for its utility and “store of value” properties.
Nation-states worldwide were reluctant to accept El Salvador’s success in light of the protests against the acceptance of Bitcoin as legal tender.
Article 7 of El Salvador’s Bitcoin law compels businesses to accept Bitcoin as payment, irrespective of their stance. However, citizen’s acceptance of BTC is noteworthy with a spike in the number of active users of the Chivo wallet.
Over 2.1 million Salvadorans are now using the Chivo wallet, according to President Bukele’s tweet.
2.1 million Salvadorans are ACTIVELY USING @chivowallet (not downloads).
— Nayib Bukele (@nayibbukele) September 25, 2021
Chivo is not a bank, but in less than 3 weeks, it now has more users than any bank in El Salvador and is moving fast to have more users that ALL BANKS IN EL SALVADOR combined.
This is wild!#Bitcoin
Following El Salvador’s example, Laos, a Southeast Asian country, has authorized the mining and trading of cryptocurrency. Alex Adelman, co-founder of Lolli.com, recently tweeted.
BREAKING: Laos, a country with a surplus of clean renewable energy, just authorized the mining and trading of cryptocurrency.
— §Alex Adelman (@alexadelman) September 16, 2021
Global “monetary policy”, powered by affordable, green energy mined bitcoin. pic.twitter.com/JJbfNVwbBJ
FXStreet analysts have evaluated that a drop below $40,000 could lead to further losses. However, if the Bitcoin price crosses $47,000, the asset is on track for the $100,000 end of the 2021 projection.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
