A recent report claims that America’s Bitcoin miners are increasingly finding the state of Georgia attractive as a base of operations.
According to a report by Bloomberg published on February 7, the U.S. has become the world’s top destination for crypto miners following China’s ban on crypto mining (with its energy-intensive practices). Hundreds of thousands of mining machines valued at billions of dollars are being plugged into America’s electrical grid, leading to concerns over the environmental impact and energy supply by local governments.
Georgia, in particular, has emerged as a mining friendly region, signaling that it wants to attract such businesses and help grow Bitcoin in the state.
The report highlights Bitcoin miner CleanSpark Inc., who bought a data center in Atlanta with the intention of opening a new mining firm. State officials were able to help the company switch to a cheaper, greener power provider, despite an initial law prohibiting such an action.
Foundry USA, the world’s largest mining pool, says that Georgia has become a go-to for miners. Miners in the state were responsible for more than 34% of Foundry’s computing power in the pool as of January 31st, almost double that of Q3 2021.
Bloomberg says Georgia is attracting miners with its relatively lower power prices and large amount of nuclear and solar power. Miners can leverage the latter to bill themselves as sustainable or emission free, thereby attracting more investment.
Regulators in the state have also cultivated a reputation of being miner-friendly, helping miners participate in a solar program that offsets emissions with renewable energy credits. In addition, the government has given miners access to day-ahead power prices, which miners can use to scale back their operation in the event of spiking rates.
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.