German conglomerate Deutsche Telekom is gearing up to launch its mining vertical very soon.
The company behind T-Mobile, Deutsche Telekom, is in plans to kick off its Bitcoin mining operations using nothing but renewable energy. This mining setup will be managed by a Deutsche Telekom subsidiary—MMS—alongside a collaboration with Bankhaus Metzler.
“Digital Monetary Photosynthesis,” the largest European telecommunications provider’s first blockchain mining project, will utilize the excess energy from power grids, which would otherwise go unused. The mining systems for this endeavor will be deployed in Backnang, Germany. Riva, a metal and glass facades manufacturer, will house the rigs, while Metis Solutions will ensure they function seamlessly.
Deutsche Telekom Will Stabilize the Energy Grid by Mining
Deutsche Telekom announced that it is branching out into mining not too long after Bitcoin’s whitepaper, which many link to the genesis of the blockchain revolution, turned 16 years old. A firm the size of this wanting to make space to capitalize on Bitcoin shows the influence of the first-ever blockchain and its native asset.
“With the growing number of renewable energy sources and the resulting fluctuations in available energy, the need for quickly available regulating power increases,” said Oliver Nyderle, Head of Digital Trust and Web3 Infrastructure at Deutsche Telekom MMS. “For this, we need mechanisms that can respond quickly to changes and absorb fluctuations.” He added, “Together with Bankhaus Metzler and RIVA Engineering GmbH, we are taking a step in this direction to test the regulatory effect of Bitcoin miners in the energy grid.”
Hendrik König, Head of the Digital Assets Office at Bankhaus Metzler, mentioned, “Our goal is to gain experience in various application areas to further advance the innovative power of blockchain technology in Germany.” Konig further stated, “Blockchain technology is gaining increasing importance in operational business outside the financial industry – and a trusted financial partner is indispensable for managing crypto assets.”
In June, Dirk Röder, head of Web3 infrastructure and solutions at Deutsche Telekom, announced to the world at BTC Prague that the telecommunications firm will make its way into Bitcoin mining operations. However, when was unknown until now. The company already operates a Bitcoin node and multiple Bitcoin Lightning nodes. Beyond that, it also has validator nodes on the decentralized AI project Fetch.ai and the famous blockchain network Polygon. Deutsche Telekom also works with the tremendously popular blockchain oracle platform Chainlink.
According to the mining-related announcement, Deutsche Telekom will rely strictly on photovoltaic implementations and wind power.
