I’m a little confused about the potential for “synergy” between storage and miners. To me, it seems like they are both addressing the same grid stabilization opportunity, but don’t really compliment each other. Do u envision them working together at the same site? Or just organically working towards grid stabilization via price signals?
Discussion
Yes they can absolutely work together. When electricity prices are high, use battery. When it’s low, power up batteries for four hour discharge to mine bitcoin. The rest of the time mine bitcoin directly. More arbitrage options with batteries + bitcoin together. And because batteries have a limited storage and discharge capacity,
If you’re a renewable energy generator you have three options - use to sell to grid when prices high. Use for battery and bitcoin mining when prices are low.
Got it. So the value for is that bess+mining enables slightly more hours of the year for miners to be hashing (during the 4hour discharge periods when prices are high and miners would normally be curtailed, but can use Bess power).
Assuming the Bess arbitrage is viable on half the days of the year (potentially aggressive in my experience) this could improve miner revenue by ~10% annually, which is meaningful.
I’m wondering in how many markets this is viable in. The BESS business case can be slightly helped by miner kickbacks based on this additional uptime, but largely needs to stand in its own.
Are you thinking of these opps as generally FTM or BTM?