It takes miners a lot of energy to review transactions and mint new blocks on the Bitcoin (BTC) blockchain.
According to Statistica, a Bitcoin transaction uses as much electricity as more than 1 million VISA transactions.
In addition, the environmental impact of cryptocurrencies increases even more if the energy used for mining is obtained from fossil fuels.
But SAITech, a Singapore-based bitcoin mining operator based in Eurasia, is looking to recycle waste energy from mining for residential, agricultural and industrial applications. The company is also making a $ 228 million acquisition of special purpose vehicles, also known as SPAC, which is merging with TradeUP World Corp to list its shares on the NASDAQ stock exchange. In an exclusive interview with Cointelegraph, Arthur Lee, CEO of SAITech, spoke about the company’s endothermic technology, the efficiency, energy consumption of mining rigs and the way forward after the merger of SPAC:
.@knutsvanholm weather @ SAI2TECH make your vision a reality. Our plug-and-perform #bitcoin Mining centers can get close to empty energy and put it in. convert #Digital System. #BTC #NOT CORRECT #SAITECH https://t.co/QouvjgpAoy
– SAI (@ SAI2TECH) November 19, 2021
Cointelegraph: Would you please describe your liquid cooling and waste heat recovery technology in simple terms?
Arthur Lee: SAI is a clean energy cryptocurrency miner. We offer hosting with leading energy-saving solutions for computing power and heating. You can think of us as a horizontally integrated clean energy company providing services to the computer, electrical and heating industries. But right now we are mainly focusing on the Bitcoin mining industry because it uses so much energy that we want to find solutions for the entire industry and improve them, reduce the carbon footprint and improve efficiency. Currently we only offer one liquid cooling system, e.g. For example, we reuse the miners’ heat and supply our customers with heat so that we can save money. Electricity is used for two parts: one for heating, the other for the computer.
But for now we can only use part of it for electricity, after completing the calculation check we will offer the heating service. On this basis, we published this year’s ESG report on CO2 emissions. With our approach, we can show that we can save more electricity and reduce our carbon footprint. We also participate in many NGOs such as the UN climate change talks. We have signed the United Nations’ commitment to reduce costs through clean computing power in the digital asset industry. Our goal is to offer more services to global customers, not only in Asia but also in Europe and America.
CT: How efficient is your technology in terms of heat recycling? Are there any metrics you can share?
AL: I can simplify it, you use some of the electricity, we can reuse about 90% of it for heating. For the whole system, it’s an integrated system, not just a heating system, we have four technologies. The first is SAIHEAT, we use the heat from the chip. Second, at SAIWATT we find more clean energy resources such as hydropower, sun, wind and other clean energies. We will make a better battery for you to solve the problem of energy saving and energy storage. The third technology is the SAIBYTE technology. Based on this technology, we offer integrated systems you know, mining pools, wallets and blockchain browsers.
We only integrate functions together and provide services for customers and industrial suppliers. The fourth technology we’re going to be using is SAICHIP, you know, we have better fluid technologies that can reuse heat and better cooling systems so we’re working with manufacturers to create more efficient miners so we can improve the efficiency of the whole system. For us, liquid cooling and heating is just the beginning, but we will reuse them and have a more efficient system.
CT: Why did you choose Kazakhstan from all countries to build the bulk of your mining operation?
AL: They know that before Chinese regulation, most of the world’s miners were based in China, consuming 20% of the total hash rate in China. After regulation, many miners want to go abroad such as North America, Eurasia, South Asia and possibly Europe. For us, all of Eurasia is a better place for miners because, on the one hand, miners who come to the US have to pay more penalty taxes. The Eurasian market is close to China so more miners from China can get there faster and thirdly, the energy supply in Eurasia, especially Eurasia, is very efficient; Europe and Central Asia, energy is cheap and enough for you more energy and cheap To consume energy. Fourth, construction fees and costs are cheaper in Eurasia due to cheap labor and high efficiency. We think Eurasia is like the Middle East in the oil industry, so Eurasia is going to be another Middle East in the mining industry.
CT: Have you put together data on the total hash rate of all of your miners?
AL: We currently operate around 4,500 units of mining rigs for our customers in Eurasia and will expand our self-mining rigs next year and offer our customers additional hosting.
CT: What will happen after your SPAC merger? For example, are you going to expand outside of Kazakhstan? And so forth.
AL: After the consolidation, we plan to go in the first two directions, research and development, we will improve our efficiency while offering a new, more efficient and cheaper product. Second, we will expand the market from Eurasia to North America and other places. We will provide additional storage and increase the proportion of SAIHEAT that is used for the provision of heating services. And we will provide more heating services for agriculture, residents and industry. We will be buying more mining equipment at a opportune time next year, building our own self-mining system, finding more partners around the world like those with more clean energy and people who need heating and services for them.
SAITech mining operations worldwide | Source: Presentation by the SAITech investor
CT: Do you join any of them? [green] Judgment? For example, to help build the local Kazakh economy, something like that?
AL: I think for the bitcoin industry, just like the mining company and the trading company, they only provide the service for the customers. I think mining is more of an investment and buying Bitcoin is like saving. For investment, miners are considered to be a bank providing hospital fees and payment services. Suppose the mining company turns into a clean energy issue. If so, they will face more problems in the future. More people will be concerned with ESG and carbon emissions, so the entire industry, not just for us but for the entire industry, will focus on how we can use more clean energy and even save energy. Suppose we could offer more services with our products. In this case we use the heat again. For the bitcoin industry, we are delivering more products to customers across the industry, which means we can save more electricity and reduce our overall carbon footprint. Nobody will worry about more CO2 emissions and more wasted energy in this industry.
CT: Would you like to add further statements or visions about the company, especially about sustainable mining?
AL: Yes, you know, our name is SAI, S means sustainable, A means available and I mean innovative. We therefore wanted to find more technologies that offer innovative services and are sustainably available to customers, markets and industry. For us, the whole industry is like the energy industry, so energy is the main cost factor for mining services, maybe chip is the second part, so electricity is the main part. We are the first company in the industry to publish a CO2 and ESG report. We just said that we have better solutions like SAIHEAT SAIWATT and SAIBYTE. We have better solutions that help us increase efficiency and CO2 emissions. We want to be a large company providing services to the mining industry. Not only do we mine ourselves, we also want to work with other mining companies. We use our technology, open source for them and we can use the technology together. We will help them reduce their carbon footprint and find more electricity. We will do it better and more efficiently for the entire industry.