August 19, 2021
Bitcoin entrepreneurs and miners are moving to Texas because of cheap electricity.
The Texas electricity grid is deregulated, which means customers can choose between different electricity providers, giving providers the leeway to offer low rates.
Mining companies are also allowed to set up long-term contracts with electricity providers that allow them to buy electricity for many years at a fixed price, as Jason Les, CEO of Riot Blockchain, a US-based cryptocurrency mining company, confirms.
Apart from these reasons, Texas politicians have all expressed support for cryptocurrency mining in the state, as evidenced by a bill passed in June that makes cryptocurrencies subject to a law making it easier for cryptocurrency companies to operate in the state.
It should also be noted that, contrary to the form of mining that takes place in China, where coal is mainly used, 20% of the energy produced in Texas comes from wind energy, a renewable energy source. This method of mining bitcoin may down well with those who are concerned about the environmental impact of mining bitcoin with fossil fuels.
For more information, read the original story in The Guardian.
