Peter Todd advocates for space miners: ’Economics might make sense’

Canadian computer scientist Peter Todd, a Bitcoin Core developer, recently penned a blog post describing the feasibility of building Bitcoin mining facilities in the vacuum of space. 

According to Todd, it’s not only possible to mine cryptocurrency in space using current technology but also potentially economically feasible if the cost of sending cargo into space can be reduced. 

Bitcoin programmer Peter Todd on the challenges of mining Bitcoin in space. Source: Peter Todd

Bitcoin in space

The idea of mining cryptocurrency in space has been discussed at length for years within the cryptocurrency community. Proponents often point out that mining operations in space could take advantage of unlimited solar energy and would leave no carbon footprint on Earth.

Opponents, however, warn against the inherent centralization that might develop due to the relatively high costs of deploying, building and operating extraplanetary mining facilities. 

On the technology side, both sides seemingly agree that there are obstacles that would need to be overcome to conduct operations in space even if it were financially feasible to launch such a project. 

As Todd put it in his blog post, “Every time this is discussed, people inevitably raise the objections that ‘space isn’t cold,’ ‘keeping things cool in space is almost impossible,’ and ‘latency is too high.’”

However, according to Todd, “These people are wrong,” have “read too much over-simplified pop science,” and “haven’t done the physics for themselves.”

Related: Who is Peter Todd, the man HBO identified as Satoshi Nakamoto?

His post challenges assertions that cooling miners in space would be an issue by asserting that the nature of space would allow for radiative cooling — heat dissipation through thermal radiation. He further adds that latency would be manageable to the point at which it would become negligible through a combination of sun-synchronous orbit and proximal positioning. 

Moreover, Todd backs up his claims with calculations and simplified explanations that serve to debunk the general idea that it wouldn’t be technologically feasible to put a mining station in space. 

According to Todd, “There’s nothing fundamentally stopping space mining from being possible.” He does, however, go on to point out that this technological feasibility doesn’t imply that such facilities will actually be built any time soon. 

“Launch costs need to be reduced,” Todd said, adding that if an equity point can be reached between the cost of launching and the potential for profit, “the economics of it might make sense.”

Reducing launch costs

In related news, launch costs might be on the verge of bottoming out thanks to billionaire mogul and SpaceX CEO Elon Musk’s vision for the human colonization of Mars.

SpaceX’s Starship recently shattered the record for the largest rocket ever launched with its 33 Raptor engines producing a combined total of around 17 million pounds of thrust — nearly double that of NASA’s Space Launch System (SLS) rocket, which puts out about 8.8 million pounds of thrust. 

A Starship spacecraft lifting off via 33 Raptor engines. Source: SpaceX  

Musk has said the company’s ultimate goal is to increase Starship’s payload capacity while reducing launch costs. If SpaceX succeeds, Musk plans to send humans to Mars via dozens of Starships .

It’s possible the same technology, or even the same spacecraft, could be used to establish extraterrestrial cryptocurrency mining facilities in a cost-effective manner. 

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