Bitcoin entrepreneurs and miners are moving to Texas because of cheap electricity.<\/p>\n\n\n\n
The Texas electricity grid is deregulated, which means customers can choose between different electricity providers, giving providers the leeway to offer low rates.<\/p>\n\n\n\n
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.<\/p>\n\n\n\n
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.<\/p>\n\n\n\n
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.<\/p>\n\n\n