Gridless raises $2M funding led by Stillmark and Block

Bitcoin mining company Gridless announced that it had secured a $2 million seed investment round from Stillmark and Block, Inc. 

This funding will help the company continue its mission of bringing new energy generation to rural communities in East Africa.

Gridless builds and operates bitcoin mining sites alongside small-scale renewable energy producers in rural Africa where excess energy is not utilized. 

As the anchor tenant, Gridless finances the construction and manages the operation of data centres in rural communities.

In its first year, Gridless contracted five project pilots in rural Kenya with HydroBox, an African hydroelectric energy company, three of which are currently operational. 

The company plans to expand to other geographies in East Africa soon.

Managing Partner at Stillmark Alyse Killeen stated that: “Stillmark is focused on investing in companies that are helping to advance the Bitcoin ecosystem in ways that offer sustainable value and solutions to many.

Gridless does this by bringing a socially and environmentally conscious approach to bitcoin mining, one that provides tangible benefits by way of access to electricity for communities in rural parts of East Africa. The Gridless leadership team is comprised of veteran entrepreneurs in the technology space with substantial roots in the region. They are well-respected amongst their colleagues and peers, and we are excited about the opportunity to further support their efforts.”

More than 50% of people across Africa were without electricity in 2020. This presents a huge demand for reliable, clean, and affordable energy.

Unfortunately, mini-grid energy generators still struggle to meet this demand due to sustainability issues.

For Gridless, bitcoin mining can play an important role in the production of more sustainable energy and increasing electrification for local communities.

The electricity generated from these sites is prioritized for community electrification and to support community uplift businesses such as containerized cold storage for local farmers, battery charging stations for electric motorcycles, and public WiFi points.

After those needs are met, the remaining electricity capacity is used to power the bitcoin computational mining data centre. 

These data centres are dynamic off-takers and can easily reduce their capacity to adjust to the needs of the community.

Depending upon the type and availability of the energy, data centres can use efficient, or less efficient, bitcoin mining machines.

“While bitcoin mining has been dominant in North America, Europe and Asia, Africa presents a great opportunity to further diversify mining across the globe, helping to better secure the network,” added Hersman. “Renewable energy is abundant on the continent. This presents excellent potential for profits for both energy generators and miners as well as the ability to deliver a real positive impact on the communities where it is put to use.” said Erik Hersman.