Access to unique power sources and friendly regulations are driving bitcoin mining companies to set up shop in Texas.
Texas might seem like an unlikely mecca for large scale bitcoin mining operations. Although energy prices in Texas are relatively cheap — a big draw for miners — the state’s reserve margins are almost nonexistent, as was demonstrated by a recent ice storm that left some homes and businesses without power for up to four days.
And when it comes to the cryptocurrency mining community, It’s hard to know exactly who’s located where and what exactly they’re mining. But there’s lots of anecdotal evidence that a significant bitcoin industry move to Texas is afoot. Bitcoin mining companies like Bitmain, Blockcap, Argo Blockchain, Great American Mining, Layer1, Compute North, Riot Blockchain and Whinstone are just a few of the major industry players that have chosen to set up shop in the Lone Star State.
The Bitcoin Mining Energy Dynamic In Texas
Compared to many U.S. states, Texas energy rates are inexpensive, although there are a few states that are slightly cheaper.
This is still a strong selling point for bitcoin miners, but energy supply problems, with no end in sight as the population of Texas grows, is a potential problem.
