Ethiopia's bitcoin mining industry generates $55 million

Ethiopia is rapidly becoming a significant player in the Bitcoin mining industry, generating $55 million in revenue over the past ten months. 

Ethiopian Electric Power (EEP) has formed a partnership with 25 Bitcoin trading organizations to capitalize on the country's abundant low-cost energy resources, according to Addis Insight. Many mining companies, particularly from China, are attracted to Ethiopia for its inexpensive electricity, which is vital for profitable operations.

Ethiopian Electric Power (EEP) has formed a partnership with 25 Bitcoin trading organizations to capitalize on the country's abundant low-cost energy resources, according to Addis Insight.

EEP has allocated 600 megawatts (MW) of power for Bitcoin mining, positioning Ethiopia with a 2.25% share of global activity, ranking just behind major hubs like the U.S. and Hong Kong. The landscape shifted dramatically three years ago when China banned Bitcoin mining, prompting miners to seek favorable conditions elsewhere.

Recent investments include a $250 million agreement between Ethiopian Investment Holdings and West Data Group to enhance mining infrastructure and local expertise. This initiative aligns with Ethiopia's strategy to expand its digital economy and improve technological infrastructure.