The World Economic Forum (WEF) recently shared a video promoting the efforts of Crusoe Energy Systems, a Colorado-based cryptocurrency mining firm that has been recognized for its eco-friendly practices. The video focuses on Crusoe’s innovative approach to reducing flaring, a process where large amounts of gas are wasted during oil production or from decomposition.
In the video, Chase Lochmiller, CEO and co-founder of Crusoe, explained that the company builds and operates modular data centers that are co-located with waste energy sources to use wasted methane streams to generate power. This enables the production of ultra-low-cost computing infrastructure by utilizing stranded energy sources that would otherwise go unused.
Despite the prominent imagery of what appears to be cryptocurrency mining facilities presented throughout the video, it never directly addresses what is actually happening. However, several crypto industry figures, including MicroStrategy co-founder Michael Saylor, praised Crusoe’s efforts and recognized the environmental benefits of their approach to mining.
Kristine Cranley, a director at the advocacy group the Texas Blockchain Council, pointed out in a tweet that the video didn’t once mention “the b word”: Bitcoin. However, it’s worth noting that Crusoe Energy Systems did expand its Bitcoin mining assets through the acquisition of Great American Mining (GAM) in October 2022, adding over 10 megawatts to its mining output, along with approximately 4,000 application-specific integrated circuit (ASIC) crypto-mining rigs.
Crusoe Energy Systems’ innovative approach to cryptocurrency mining has not gone unnoticed, as they recently partnered with the government of Oman in June 2022. Oman exports 21% of its gas production and seeks zero gas flaring by 2030. Crusoe will open an office in Oman’s capital city of Muscat and install its equipment for capturing gas waste at well sites to use as computing power for crypto mining.
It’s worth noting that the WEF has previously expressed concerns about the environmental impact of Bitcoin’s current consensus mechanism and has advocated for changing its code to proof-of-stake. Some users have suggested that the WEF’s failure to directly mention cryptocurrency mining in the video is due to their previous stance on the issue.
Despite the lack of direct mention of cryptocurrency mining in the WEF video, Crusoe Energy Systems’ approach to mining is an excellent example of how technology can be utilized to reduce waste and promote sustainable practices. Their innovative use of waste energy sources to power their mining facilities is not only beneficial for the environment but also serves as a reminder that the crypto industry can play a significant role in promoting eco-friendly practices.