BlockChain News

Crusoe Energy Systems to Turn Wasted Natural Gas Into Electricity, Blockchain Investors Interested

Crusoe Energy Systems, Inc. has just finished their seed financing round with $4.5M raised. The energy company is looking to use the funds to provide flare mitigation services. These services would enable oil and gas producers to transform wasted natural gas into electrical power. 

Major players in the blockchain space have been closely watching Crusoe Energy Systems’ recent seed financing round. The project has garnered much attention because it bridges together the energy sector and the electrical requirements of blockchain-based networks. 

In total, around $4.5M has been raised in this round of fundraising. Some of the major investors include Winklevoss Capital and Bain Capital. Winklevoss Capital is owned by the Winklevoss Twins, famous for being high-profile Bitcoin enthusiasts and founders of the Gemini cryptocurrency exchange 

One possible reason why reason Crusoe has amassed significant capital from major players in the blockchain space is that wasted natural gas can be used to power all blockchain-based data centers and cryptocurrency mining rigs.

As we well know, cryptocurrency mining requires significant amounts of electricity. Although much of it today is renewable, there is still much room for improvement. 

That’s where Crusoe comes in.

The company is looking to make it easier for oil and gas companies to convert their wasted gas at the well site. This would eliminate the need for gas flaring and reduce negative environmental impacts. According to the 2017 data from the World Bank, the gas wasted via gas flaring in a year could power more than 7M homes. 

Crusoe is looking to utilize this wasted gas to power emerging technologies and their data-centers. CEO Chas Lochmiller has said that his company hopes to harness this wasted natural gas to “power industries that require energy-intensive computing, such as blockchain and artificial intelligence.”

Furthermore, Crusoe’s DFM systems are allegedly designed to provide a portable solution which could be deployed in a matter of days. 

Do you believe Crusoe’s business idea will have ramifications for existing blockchain-based networks and their energy consumption? Let us know your thoughts below. 

[Image Credits: Shutterstock]

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