Bitcoin mining likely didn’t contribute to Texas power outages, expert says


Although many Texans are still suffering from a winter storm that left millions of people without electricity or running water for days, it is unlikely that the state’s crypto mining farms played a role. important during the crisis.

Speaking to TBEN, Kristy-Leigh Minehan, mining consultant and chief technology officer for NEM Software, said Texas currently does not have enough mining infrastructure to cause significant problems in the power grid compared to that. large regions like Sichuan.

German Bitcoin (BTC) mining operator Northern Data, Minehan, is likely the only one that could have had a significant impact on the state’s power supply. The company has a mining farm in East Texas, with others like HODL Ranch and Layer1 in West Texas. The mining expert added that some farms have no dependence on the state’s energy grid at all, such as those that power their rigs using excess gas formed as a by-product of mining oil.

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“A lot of these companies also have a lot of generators not only – they have a lot of renewable storage to play with, just in case,” Minehan said.

The effects of a disaster in Texas or the southern United States on Bitcoin’s hash rate are almost statistically insignificant compared to one in China, whose miners control more than half of the network’s hash power. Minehan noted that the BTC hash rate only dropped about 10 terahashes per second during the recent snowstorm, which is not significantly higher than typical day-to-day fluctuations of 5 TH / s. Blockchain data shows the hash rate increased from 160 TH / s on February 11 to 150 TH / s after the coldest night of the winter storm.

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Minehan felt that mining farms in North America were unlikely to have a greater effect on hash rate without access to the right hardware. She said a major industry player like Intel deepening mining chip development could potentially turn the tide, but for now, it looks like China will remain the stronghold.