In the event, Texas Blockchain Summit, held in the city of Austin, on October 8, Nic Carter CEO of Castle Island Ventures, reported on the distribution of the hashrate in the different states of the United States. From a set of data collected by Foundry USA, it is shown that of the total hashrate rate resulting from the mining of Bitcoin carried out by the United States, the state of New York represents 19.9%, 18.7% corresponds to Kentucky, 17.3% to Georgia and 14.4% to Texas.
The hashrate is an amount that is used to quantify the combined computational power, which is used to mine and process transactions on a Blockchain.
Foundry USA is the largest mining group in North America. A mining pool allows independent miners to combine their hashrate power with other miners anywhere in the world.
At the time of writing, Bitcoin is trading at $ 56,417.54. Source: CoinMarketCap
Notably, Riot Blockchain, is one of the largest public mining companies in the United States. Currently, it has operations in Texas, but is not part of Foundry USA. Therefore, the percentage of the hashrate in Texas could be well above the 14.4% of the Foundry data set.
Many of the states in the country, with the highest Bitcoin hashrate rates, also have high levels of renewable energy. This factor could have started to change the narrative about the “negative” impact of Bitcoin on the environment.
Renewable energies create an ideal environment for cryptocurrency mining
According to Foundry data, states with the highest share of renewables appear to be attractive to large mining pools. New York’s climate, plus the fact that the state produces most of its energy through hydroelectric generation east of the Rocky Mountains. They make it a state with great appeal for cryptocurrency mining.
Recently, New York State legislators have stopped the legislative push they had to ban cryptocurrency mining for three years, until they could determine the environmental impact of this activity.
Also, in March of this year, the state of Kentucky passed a law that offers tax incentives for Bitcoin miners. Like New York, the state of Kentucky obtains much of its electricity from renewable energy.
Texas will be the new epicenter of Bitcoin mining
Some of the biggest Bitcoin mining companies have established themselves in Texas, including Riot Blockchain. Which owns a 40-hectare site in Rockdale, and also the Chinese mining giant Bitdeer, which is in the process of starting operations.
Mass orders for new ASIC miners and new specialized equipment to mine various cryptocurrencies will be delivered in Texas, according to The Block Crypto.
Some mining companies connect directly to the electrical grid to power their machines. ERCOT, the organization that operates Texas’ power grid, has the nation’s cheapest solar power at $ 2.8 cents per kilowatt hour. The ERCOT network is also including wind power in its future projects.
Another important energy factor in the Bitcoins mining business in the state of Texas is the use of burnt natural gas. Which could be used to feed the mining platforms, instead of being burned without any benefit in the oil extraction processes.
According to experts, the gas burned in Texas could power 34% of the network of Bitcoins miners today. Which would position the state of Texas, not only in the leader of the mining of Bitcoins in the United States, but in the whole world.