Winklevoss Capital has decided to invest in a company that is using waste natural gas to power its mobile data centers – thus helping to reduce unnecessary carbon emissions. By using the excess natural gas that occurs during the oil extraction process, Crusoe Energy Systems hopes to provide access to low cost energy sources with its mobile mining centers. Currently, flaring is at an all-time high in Texas, and there is no sign of it slowing down. Rather than wasting this gas, Crusoe Energy Systems is putting it to good use.
Flaring is the name for the process of burning off excess natural gas that is found while extracting oil. It creates a bright flame at the top of an oil well as well as a lot of unnecessary carbon emissions. Crusoe Energy Systems is developing mobile data centers that can be placed at the edge of an oil well and oil well operators can hook up a pipe that extracts the natural gas. This natural gas is then turned into electricity to power the crypto mining center. While it’s not clean, green and renewable – like 77.6% of the total power used in Bitcoin mining – it’s certainly very cheap.
The “Crypto Twins” Need Another Victory
After losing a court battle with Charlie Shrem over a 5,000 missing Bitcoins, the Winklevoss twins could use a win. This innovative startup is helping to reduce the effects of climate change by burning natural gas in a clean and efficient win. If it works out and the mobile data centers go mainstream, thousands of oil rigs and wells around the globe could be harnessing the potential of free natural gas. Seeing as oil companies don’t want the gas anyway, they will likely sell if off to companies operating these data centers at a very low cost.
Funding from Top Names
The fresh funding round was led by big names such as Bain Capital Ventures, Founders Fund Pathfinder and – of course – Winklevoss Capital. The centers that Crusoe Energy Systems are planning to put in place are scalable up to millions of cubic feet per day. Sterling Witzke – Winklevoss Capital representative said:
Crusoe Energy is in a unique position to reduce the cost of cloud computing and cryptocurrency mining. Their technology is a win-win for the environment, energy producers, and the digital economy.
Exactly who Crusoe Energy Systems are using for their hardware partner is yet to be seen, but looking after the planet and reducing waste gas is a massive step. Companies like Crusoe Energy Systems are helping to clean up the world’s perception of crypto mining companies.