Thanks to an agreement between Volcano Energy and Luxor Technology, Lava Pool has become the first Bitcoin (BTC) mining pool in El Salvador. Let’s take a look at this announcement.
El Salvador now has its first Bitcoin mining pool
As Bitcoin (BTC) becomes increasingly important in El Salvador, the country now has its first mining pool. The result of a collaboration between Volcano Energy and Luxor Technology, the pool is called Lava Pool :
It’s here! Lava Pool is now available. Join the revolution in Bitcoin mining with us https://t.co/t6mEASxjLZ LavaPool BitcoinMining pic.twitter.com/77SVVZ5gc7
– Volcano Energy (@Volcano_Energy) October 4, 2023
Earlier this year, the Volcano Energy project made headlines with Tether’s participation in a $250 million fund-raising round, set to close at $1 billion in a second phase. At launch, the facilities were to be powered by 241 megawatts of solar and wind energy, in order to deploy 1.3 exahashes per second on the grid.
In addition, the government of El Salvador is to receive 23% of the revenues generated by these facilities.
For its part, Luxor is known in the mining world as one of the biggest players. Over the last 12 months, for example, the company’s main mining pool has secured 2.28% of the Bitcoin blockchain, and mined 1,220 blocks.
Geographical decentralization necessary
While a lack of geographic decentralization may have been pointed out on the Bitcoin network prior to China’s ban on mining, the partnership between Volcano Energy and Luxor is to be applauded, allowing at its level to balance the scales by giving importance to El Salvador.
Ethan Vera, COO of Luxor, commented on the agreement in this vein:
The philosophy of Bitcoin mining revolves around geographic decentralization, and the development of the mining pool infrastructure in El Salvador will contribute to this goal. We’re thrilled to partner with Volcano Energy to launch Lava Pool and support their mission in El Salvador and Latin America more broadly. “
For Gerson Martínez, Director of Strategy at Volcano Energy, it was also the country’s favorable regulatory framework that weighed in the balance:
“We decided to launch one in El Salvador, the only country with clear regulations and a business climate that offers stability and predictability to Bitcoin businesses. “
While we’ve been analyzing the growing robustness of Bitcoin recently, it will be interesting to see what place El Salvador may occupy in the mining industry in the future.
