Hydropower to be Used in a Crypto Mining Farm in NY, Mining Goes EcoFriendly
Bitcoin mining is very popular nowadays. It provides crypto enthusiasts with a reward for verifying the transactions and adding a block to the blockchain. However, miners have to face high costs of getting the required electric and computational power. To deal with this problem. DPW Holdings Inc, a diverse holding company with a growth strategy of acquiring disruptive technologies, came up with a smart solution.
They have announced that its mining operations will be powered by hydropower energy near the Valatie falls, New York. The initiative is set to be commenced in the fourth quarter of 2018. The hydroelectric dam, originally built in 1983, will produce low-cost, renewable electricity for the mining farm.
Milton Ault III, DPW Holdings’ CEO and Chairman, said:
“Our successful repurposing of Valatie Falls dam to provide clean, low-cost, renewable power to Super Crypto’s future co-located mining farm is another important step in our strategy to create an economically viable, self-sustaining cryptocurrency mining business.”
The DPW farm will use its own mining equipment, the AntEater, developed in January in cooperation with Samsung.
DPW Holdings is not the first company to establish its own hydropower facility for crypto mining. In 2016, MGT Capital Investments secured a location in central Washington with hydropower to launch a bitcoin mining operation. The company expected the facility to generate processing power to operate ASIC computers for mining.
Due to power usage, number of crypto mining firms is growing day by day, which leads to the problem of excessive usage of it, that’s why it is essential to regulate this process. Governments all over the world are regulating crypto mining by imposing various restrictions for miners.
For example, the Chinese government practically banned mining activities. Some of the U.S. states have taken measures against crypto miners as well. New York state created a new electricity rate scheme for cryptocurrency miners, who now pay more than average consumers. Commissioners from the Franklin County Public Utility District took a step further and decided to stop accepting applications from new crypto miners until they study the effects of the growing density of cryptocurrency mining farms on electricity supply in the region.