Paraguay and The Blockchain Foundation have signed a partnership to use the country’s Itaipu dam, the world’s most powerful hydroelectric plant, to drive the rapidly growing cryptocurrency mining industry.
The Blockchain Technology Foundation and the government of Paraguay have completed talks to create the world’s largest Bitcoin mining farm and cryptocurrency exchange. According to the announcement, the project dubbed “Golden Goose Project” will be carried out in one of the country’s major cities called Ciudad Del Este. Situated on the borders of Argentina and Brazil, the city is famous for commercial development and tourism.
Commenting on the recent partnership, chairman of the Blockchain Foundation Choi Yong-Kwan said they would build the world’s the largest mining farm in the South American country using cheap and abundant clean energy.
Hydroelectric dams produce electricity for the country
The country’s largest power plant Itaipu Hydroelectric Power plant has an annual output of 103TW. The country consumes only 20% of the power produced. The rest is exported to Brazil. The incredibly cheap energy prices in Paraguay have already led to a number of crypto startups and miners to flock the city.
As per the contract, the Paraguayan government would provide approximately 50 Sq. Kilometers plot of land near the aforementioned Itaipu Hydroelectricity Power Plant, with affordable electricity rates for up to 15 years.
It is worth noting that The Blockchain Foundation will carry out an Initial Coin Offering (ICO) in accordance with the laws of Paraguay to fund the project. And, the project will be funded through different mechanisms including Bitcoin (BTC), MicroBitcoin (MBC) and Ethereum (ETH).
Fully supported by the government
The Vice President of Paraguay Hugo Moreno also expressed his optimism regarding the project. He said that the government fully supports the project. Moreno added that the Golden Goose project would be exempted from taxation through constitutional revisions.