Reporting from Bitcoin Jungle, Costa Rica…

In the heart of Costa Rica, nestled along the Poas River, lies a humble hydroelectric power plant with a capacity of just 3 megawatts.

It's the kind of place you'd easily overlook, a small fish in a big pond of energy production.

But if you want to predict the future — as is our beat — you have to fine tune your senses to the tiny but promising.

And the tiny power plant in question, called Data Center CR, is one such potential trimtab.

Crypto + Renewable Energy

When the COVID-19 pandemic struck, the Costa Rican government found itself with a surplus of electricity.

They stopped buying power from this $13.5 million plant, leaving it in a state of limbo.

For nine long months, the plant sat idle.

But the owners of this little plant refused to give up.

With a $500,000 investment, they transformed the facility into a haven for crypto miners, creating a new revenue stream that breathed life back into the plant.

Soon after, the Data Center CR hosts 150 local customers, their machines humming away 24/7 in eight containers set up next to the plant.

The plant quickly gained the capacity to host 1,000 mining units, all powered by clean, green, Costa Rican hydroelectricity.

Now, this is where things get interesting…

Costa Rica is blessed with lots of water and geothermal energy. Most people don’t know this, but: They get over 70% of their electricity from hydroelectric dams and less than 1% from solar.

El Salvador is also energy-rich. You probably heard they began mining Bitcoin with power harnessed from a volcano.

Similarly, companies like Doctor Miner are spearheading an effort to build out renewable energy infrastructure in Venezuela by mining BTC. In fact, they see Bitcoin mining as one solution to the country’s energy industry challenges.

After having traveled through Central America for almost two months now, there’s a sense that the locals here are far more receptive to crypto than Americans.

As is expected.

In Honduras, Prospera — a special economic zone — has recognized Bitcoin as its official currency.

El Salvador recognized Bitcoin as legal tender.

Costa Rica has embraced Bitcoin on a scale I haven’t seen anywhere in the world.

Which leads me to my experiment.

Living on Bitcoin

I started my day by getting a coffee with Bitcoin at a cafe called Flavourful Coffee.

Soon, I’ll travel further south and stop at a bakery that accepts Bitcoin.

Then, I’ll be paying for my hotel with Bitcoin at La Colina Hotel -- which, attached to La Colina is a steakhouse (that, yes, accepts Bitcoin).

How am I doing it?

The first thing you need is a mobile Bitcoin wallet compatible with the lightning network.

(If you’ve never used a BItcoin wallet before, Muun is a good one.[)

Then, once you send Bitcoin to your wallet, you’ll be able to spend that Bitcoin at any store that accepts it.

Always look for a QR code, like this one:

Scan the QR code and boom. You’ve paid in Bitcoin.

Unlike many businesses in America…

These retailers aren’t immediately converting their Bitcoin into dollars or Colones.

Many of them are holding onto Bitcoin, especially in the Uvita region, where it seems every other business accepts BTC. 

More on the Bitcoin journey tomorrow.