Panajachel and the areas in El Salvador that Bukele chose for mining Bitcoin offer volcanic energy, which does not harm the environment. Other projects in Costa Rica, Brazil, and Ecuador also seek to increase the awareness of the advantages of BTC among communities.

Bitcoin (BTC) mining has grown significantly worldwide, particularly in Latin America, in the last few months. The town of Panajachel in Guatemala now joins the activity through a project approved by the City Hall.

Local project Bitcoin Lake posted on Twitter that the announcement was great news for Panajachel and Bitcoin. They seek to do the same that happened with Bitcoin Beach, El Salvador, in Guatemala.

The post from the project pointed out that Panajachel is the first municipality with Bitcoin mining that people know in Central or South America. That activity allows confirming transactions and issuing new coins on that world network.

Panajachel shares a peculiarity with the areas in El Salvador where President Nayib Bukele decided to start mining Bitcoin. Three Guatemalan volcanoes, San Pedro, Tolimán, and Atitlán, provide a source of clean energy to do that activity.

The founder of Bitcoin Lake, Patrick Melder, said that they had already started mining Bitcoin in the town. The project contemplates an economic and environmental dimension in favor of the communities of Panajachel. He considers BTC is perfect for reducing poverty, creating clean energy, promoting financial education, and bringing hope.

Melder stated that volcanic energy is a free resource that can allow mining Bitcoin without harming the environment. He expects the activity to provide an economic incentive to clean up the lake and benefit the people around it.

The Number of Bitcoin Cities Grows in Latin America

Bitcoin has recently begun to gain ground in Panajachel thanks to Bitcoin Lake, as more than a dozen businesses accept BTC as payment. The project seeks to replicate the experience of El Zonte, El Salvador, in that Guatemalan town.

There are already other similar projects in the region besides El Zonte, the basis for the first country to adopt Bitcoin as legal tender. Cases in Costa Rica, Brazil, and Ecuador also seek to increase the awareness of the advantages of BTC among communities.

Beyond projects to build Bitcoin cities or communities, mining has recently become quite popular in Latin America. While large projects are emerging in countries like Argentina and Paraguay, Venezuela remains attractive for the activity thanks to its low electricity rates.

BTC is trading at around USD 49,934 and has accumulated a 5.2% gain over the last week. Its daily trading volume is above USD 23.21 billion, and its market capitalization is about USD 891.55 billion, according to CoinGecko.

Bitcoin mining is an increasingly relevant activity, which has led several governments to include it in their economic systems. However, regulators usually seek to control or ban it, alleging it harms the environment and contributes to illicit activities. However, various studies indicate that other industries generate more CO2 emissions, and criminals prefer to use fiat money.

By Alexander Salazar


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