German telecom giant to mine Bitcoin using excess green energy

Deutsche Telekom, through its subsidiary Telekom MMS, and the German banking institution Bankhaus Metzler have announced a pilot project that aims to power Bitcoin mining infrastructure utilizing surplus green energy during peak production periods. According to the companies, this initiative aims to absorb unused energy that would otherwise go to waste due to limited delivery options or storage solutions.

The growing share of photovoltaic and wind energy in the grid highlights the need to find ways to harness excess energy that can be abundant during periods of favorable weather conditions. The telecom company plans to use the project to "provide valuable field data and insights to inform future projects".

With the increasing integration of renewable energy sources and the resulting fluctuations in energy availability, the demand for quickly accessible control power is rising. To address this, we need mechanisms that can rapidly respond to changes and absorb fluctuations. Together with Bankhaus Metzler and RIVA Engineering GmbH, we are taking a step forward in testing the potential of Bitcoin miners to support grid stability 

- Oliver Nyderle, Head of Digital Trust & Web3 Infrastructure at Deutsche Telekom MMS.

Details regarding the pilot’s duration or the investments required have not been disclosed.

The concept of using surplus green energy for cryptocurrency mining, often referred to as "digital monetary photosynthesis", has already been successfully implemented in countries such as Finland and the United States. According to the International Energy Agency’s (IEA) Electricity 2024 report, cryptocurrency mining—primarily Bitcoin—accounted for 110 terawatt-hours (TWh) of electricity consumption in 2022, representing 0.4% of global annual demand which is roughly equivalent to the total electricity consumption of the Netherlands.