China appears to be losing its dominance as the most favorable country for Bitcoin and cryptocurrency mining, while others, such as the United States and Canada, are becoming more viable options for carrying out this productive activity.
The United States is now considered one of the best countries to start mining Bitcoin (BTC) y cryptocurrencies, ; and there are even those who compare that establishing a mining farm in this country is practically the same as doing so in China, the nation preferred by Bitcoin miners to carry out this activity due to its low energy rates, but which is losing interest due to the constant conflicts of its government with cryptocurrencies.
Although more than 50% of the hash rate While Bitcoin's mining power, i.e. its mining capacity, is still concentrated in China, more mining companies are moving away from the country and expanding their operations to the other side of the world, in America.
Recently, Argo Blockchain announced the acquisition of a 320-acre plot of land, or about 128 hectares, to install a crypto mining farm and data center with access to about 800 MW of cheap electricity in Texas, United States. Also, the companies Cipher Mining Technologies y Good Works Acquisition, confirmed their alliance to create Cipher Mining Inc., a Bitcoin mining company that will have approximately 745 MW of power.
Like an episode of the “gold rush”, Bitcoin miners in North America, especially in the United States and Canada, are discovering a great potential to mine cryptocurrencies in a highly profitable way, which has attracted many more entrepreneurs and interested parties to participate in this booming and growing sector of the cryptoeconomy, which generates benefits on a global scale. Thus, Bitcoin’s hash power is beginning to move towards America, a region that promises a perfect and privileged setting to catalyze all the power that the digital industry encompasses.
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320 acres in West Texas
Argo Blockchain, which completed the purchase of the company DPN LLC, now owns a 320-acre plot of land that belonged to DPN LLC. According to the press release shared on the London Stock Exchange, the plot of land in Texas has access to power generation rights, which gives Argo a great advantage in consolidating its growth and expansion plans in the future.
The technology company blockchain Argo, a publicly traded mining and services company, intends to build a new 200 MW mining facility within the next 12 months. Through this facility, Argo believes it will be able to enjoy some of the lowest electricity rates in the country and the world, as the majority of the energy used will come from renewable sources. In total, the company aims to have access to close to 800 MW of affordable electricity.
PeterWallArgo Blockchain CEO, said that the acquisition of these lands in Texas represents an important milestone for the company. Now, Argo will not only be able to have greater control over its Bitcoin mining operations, but will also be able to begin significantly expanding its mining capacity on a large scale.
“We now have access to what we believe is the cheapest renewable energy in the world, in a place where innovation in new technologies is encouraged and incentivized.”
Argo Blockchain is headquartered in London, UK and is listed on the London Stock Exchange and the OTCQX Best Market in the United States.
Cipher Mining Inc., 745 MW of energy by 2025
The mining company formed by Cipher Mining Technologies, the subsidiary of Bitfury and Good Works Acquisition, a provider of Bitcoin mining hardware, intends to become the leader of Bitcoin mining in the United States, being one of the largest mining companies in the country.
By the end of 2025, the new company, Cipher Mining Inc., aims to reach a power of 745 MW, in addition to the best equipment developed by the firm Good Works, to extract bitcoins in a highly profitable way, and guarantee the exposure of its investors and clients to the economic potential offered by cryptocurrencies and digital assets.
North America gains more control in the crypto-mining industry
Since last year, more cryptocurrency mining companies have begun to operate from the United States and Canada, and the vision for the future is to turn this region of the world into a point of reference for this activity.
One of the largest mining companies in the region is Marathon Patent Group, which maintains mining operations in the United States and Canada, and which in recent months has placed purchase orders for mining equipment for more than 70.000 units to expand its mining capacity. Also, the investment company Digital Currency Group (DCG) announced investments worth $100 million in Bitcoin mining equipment. This company hopes to position North America as an important area for the growth of this sector of the crypto industry. bitfarms will also be expanding its Bitcoin mining capacity to 8,0 exahashes per second (EH/s) by 2022, with the installation of 48.000 new mining rigs.
In the past, several experts have criticized the United States' stance on cryptocurrencies, failing to implement clear and favorable regulatory frameworks that encourage the growth of this sector within the country. But the landscape is changing, and more and more companies are starting cryptocurrency mining operations in this part of the world. China, for its part, seems to be losing leadership in the Bitcoin mining industry, due to the strong restrictions that the government has imposed on this asset class.
Recently, authorities in China's autonomous region, Inner Mongolia, announced that they will begin to enforce a ban on cryptocurrency mining in the region, in order to curb the energy consumption that this activity produces. An event that will be a setback for China's dominance in Bitcoin mining, since Inner Mongolia is one of the regions preferred by miners, due to its low energy rates.
Continue reading: Bitcoin mining and hash rate continue to grow within American countries
