Texas is becoming a Bitcoin mining hotspot. Here’s why

Sahana Kiran
Bitcoin mining
Source – Pixabay

Bitcoin mining firms were displaced following China’s decision to oust all things crypto from the country. China was the face of crypto mining. However, things didn’t go as planned. Several platforms were looking for a place to settle, but stringent regulations, community lawsuits, and even concerns about pollution made the entire process challenging. While some parts of the US continue to impose a ban on mining, Texas was seen embracing the industry.

A prominent Bitcoin mining firm, Argo Blockchain even managed to secure a loan to set up shop in the region. In a recent press release, it was noted that New York Digital Investment Group [NYDIG], a crypto-centric lender, was facilitating the funding. Helios, Argo’s mining facility would be constructed in Dickens County, Texas. The construction is underway and is currently in its first phase. The platform is likely to kickstart operations from Q2 2022.

Both the parties reportedly signed agreements that assure a debt of $70.6 million to Argo.

As seen in the above image the interest rates go up to 12 percent and are expected to mature in the coming two years.

Texas the newest Bitcoin hub

Earlier this week, another crypto-mining data center campus by Riot Blockchain commenced its works. While firms veering into the region to establish their business isn’t surprising to anyone. However, Fort Worth, a city in Texas broke the ceiling by becoming the very first city to mine Bitcoin. The Mayor of the city, Mattie Parker would be taking over this small-scale mining project.

While Texas’ pro-Bitcoin officials have welcomed Bitcoin mining projects into the region, the natural resources also play a major role. Renewable energy sources like solar and wind power are a great addition to the energy-intensive Bitcoin mining process.

Texas would likely emerge as the Bitcoin capital of the world over the next couple of years.