Miners don’t go to Australia because electricity prices are too high. IOT Group plans to use blockchain energy solutions to change the status quo

Although Australia has a good local investment environment and low policy risks, many blockchain companies are reluctant to enter the market because of the high electricity prices. In order to change this situation, two local energy industry companies, IOT Group and Hunter Energy, have signed an energy cooperation agreement to build a blockchain center for the local Redbank coal power station.

Currently, cryptocurrency miners (mainly Bitcoin miners) such as Bitfury and Bitmain would rather build data centers in Northern Europe than in Australia, mainly because of high electricity prices. According to IOT Group, the average consumer pays about 28 cents per kilowatt-hour, which is very high.

In fact, the energy consumption of the Bitcoin network is indeed very large. Last year, Bitcoin consumed 32 terawatt hours of electricity, which is almost equivalent to the electricity supply of the entire Denmark. This figure also accounts for 16% of Australia's national electricity consumption in the last fiscal year.

But now, IOT Group hopes to use blockchain energy trading to allow customers to get electricity at wholesale prices without having to worry about incurring additional costs. The company has said that the price they will provide in the future is only 8 cents, and the night price will be 5 cents.

With the completion of the new blockchain energy center, companies will be able to build data centers with lower electricity costs, which will attract a large number of technology companies to settle in, and the local Hunter Valley in New South Wales may even become the next Silicon Valley.