The Ethiopian state power producer, and a population of 126 million Ethiopians, welcomed the bitcoin mining industry in 2024 with an attractive electricity rate of USD 3.2 cents KWh. In the past year EEP has generated $55 million in revenue from bitcoin miners and $123 million is expected in the coming year.
As we look ahead to 2025, let us take time to recognize the efforts and events in Ethiopia from the year 2024. These events can serve as a blueprint for how other rich countries with potential energy, even those too small or too timid to challenge historical assumptions about it. money, also join this race for energy and added value to the bitcoin network.
First Quarter
- December 13, 2023, the The Financial Accounting Standards Board (FASB) issued an Accounting Standards Update which deals with the accounting and disclosure of “crypto” assets. Google Addis Developer Group (GDG Addis) invited Kal Kassa from BitcoinBirr and Dr. Nemo Semret from QRB Labs to speak at DevFest'23.
- RT published news about Russian investors establishing bitcoin mining facilities in Ethiopia. Features of Sega QRB Labs together with Bloomberg article on Chinese investors also working in bitcoin mining.
- February 12, 2024, BBC News Day Live interviews with Kal Kassa about bitcoin mining in Ethiopia. Then on February 21, 2024, Addis Standard published revenue figures of USD 2 million won by Ethiopian Electric Power (EEP) from bitcoin miners. Within the year we will see this sales figure grow many times.
- As the first signs of a return in the bitcoin mining industry were reported, within days of each other, Bitcoin Magazine published 5 Profitable Mining Bitcoin Methods Ethiopiathen The Economist published Why Africa is Crypto's Next Frontier and finally Addis Standard published From Shadows to Spotlight: Why Ethiopia Became the Latest Scene for Cryptocurrency Rush. In the first quarter of this year CNBC's MacKenzie Sigalos also visited Addis Ababa to learn about this new business.
Second Quarter
- Dr AS Nemo Semret from QRB Labs has revealed Bitcoin Mining in Ethiopia; good, bad, and ugly ahead of his interview with Hashrate Up Podcast and Gugut podcast to discuss experiences building his facility and recent developments in the energy sector.
- May 3, 2024 Jennifer Zabasajja, host of Bloomberg's Next Africa Podcast, spoke to reporter Fasika Tadesse in a segment titled Ethiopia: An African Paradise for Crypto Miners?
- And on May 23, 2024, Addis Standard published revenue figures of USD 10.1 million earned by Ethiopian Electric Power (EEP) from bitcoin miners.
Third Quarter
- Blink publishes Bitcoin Mining in Africa: All Roads Lead to Ethiopia.
- August 25, 2024, Addis Standard published revenue figures of USD 27 million earned by Ethiopian Electric Power (EEP) from bitcoin miners.
- The Prime Minister of Ethiopia, Abiy Ahmed, is on the Private Key Infrastructure (PKI) initiative in partnership with the Information Network Security Administration (INSA) to support local offices with cryptographic messaging and private key related issues.
- BitCluster shared images of its facilities in Ethiopia after installing 12,000 bitcoin mining machines. In the third quarter of 2024 we also saw the publication of the eCrypto GitHub page Amharic translation of the bitcoin white paper.
The fourth quarter
- Interview with DINK TV and Genet Shiberu Western Data Group in Bole Lemi for a tour of the 30 MW bitcoin mining facility.
- Luxor's Ethan Vera and BitcoinBirr's Kal Kassa joined The Mining Pod with Will Foxley to talk about Bitcoin mining success in Ethiopia.
- In the fourth quarter of 2024 we learned that too BitFuFu (NASDAQ: FUFU) to Acquire 80-MW Bitcoin Mining Facility in Ethiopia. A few weeks later, Morningstar's Newswire published BIT Mining Limited (NYSE: BTCM) completed the first phase of construction in Ethiopia for a deal that includes USD 2.265 million in cash and USD 12.015 million in shares.
- The Green Africa Mining Alliance (GAMA) hosted the Africa Bitcoin Mining Conference (ABMS '24) on October 3, 2024 at the Kuriftu Resort in Entoto Park, Addis Ababa.
- November 4, 2024, Fred Harter of Africa Report published revenue figures of USD 55 million won by Ethiopian Electric Power (EEP) from bitcoin miners. Projections for next year's income from bitcoin miners are $123 million.
- November 5, 2024, The top of Bitcoin is '24 hosted by BitcoinBirr at the Sheraton Hotel in Addis Ababa. The main sponsor of the event, West Data Group, announced news of a 20 MW facility in Wolaita Sodo ground breaking.
- Business journalist Charles Gitonga from BBC Africa interviews Kal Kassa on the Focus on Africa Podcast titled Why is Ethiopia a center for Bitcoin mining? Addis Insight shared its article on the topic with the title From Hydropower to Bitcoin: The Rise of Ethiopia as a Mining Center.
- November 29, 2024, Ato Henok Assefa published How Bitcoin Mining Can Help Achieve Universal Electrification in Africa. The same week Henok Assefa into the board of the state-owned Commercial Bank of Ethiopia (CBE).. And days later we learned that Ethiopian Electric Power (EEP) will be under the new ownership of the Ethiopian Investment Holdings (EIH).
- Closing out the year, on December 5, 2024, the Telegram channel “Bitcoin” posts that 2.5% of the global Bitcoin hashrate now comes out of Ethiopia and that this number is to be doubled in the next year.
Ethiopia's next goal, if it is to be supported by the various market actors and individuals involved, is to put 1 GW of energy into the Bitcoin network.
The future of Bitcoin mining in Ethiopia depends on how the Ethiopian government treats the industry. Since the industry is sensitive to energy, government offices should focus on electricity production, distribution, sustainability, the inviolability of commercial contracts, clear customs procedures, and transparent tax laws. As I work with great bitcoiners around the world, I am optimistic that we will reach these goals. Stay humble, sit tight and have a great new year!
This is a guest post by Kal Kassa. Their views are entirely theirs and do not necessarily reflect the views of BTC Inc or Bitcoin Magazine.
