At a government level, the city of Fort Worth, Texas is planning to enter the Bitcoin mining business in order to establish a blockchain center. The six-month trial should show that the region is a warm welcome for blockchain entrepreneurs.
City Hall Miners
On Tuesday, the Fort Worth city council passed a resolution to accept a Bitcoin mining donation.
As CNBC notes, the Bitmain Antminer S9 mining rigs will mine Bitcoin 24 hours a day, seven days a week for six months. They’ll then return to the council, which is dedicated to increasing crypto adoption in Texas.
It’s a tiny test: each miner only uses the electricity of a regular household vacuum, according to city estimates. However, it is a leap that no other city in Miami has made, where the well-known Bitcoin enthusiast mayor is compensated with bitcoin.
The miners will work in Fort Worth City Hall’s temperature-controlled IT wing. In order to minimize security risk, they’ll operate on a private network. Overall, the Bitcoin that the experiment creates is expected to exceed the miner’s operational costs.
The main goal of the project is to bring Bitcoin into Fort Worth’s financial position and offer support to the wider cryptocurrency industry. The most essential thing for Mayor Mattie Parker is to make Fort Worth known across the world through tech innovation, especially cryptocurrency.
Potential for Bitcoin Miners to Stabilize Electricity Grid
In her response, Parker said she understood the potential for Bitcoin miners to stabilize her state’s electricity grid.
In 2021, Texas suffered from lengthy blackouts as a result of excessive power demand, killing hundreds. As a consequence, Texas governor Greg Abbott has been encouraging Bitcoin miners to move to the state in order to stimulate power generation.
Given that Bitcoin mining has frequently been linked to causing outages owing to excessive power use, the technique appears counter-intuitive.
According to this idea, miners may act as energy purchasers of last resort in situations of low demand. Energy producers would be able to stay profitable in this scenario, especially those who use intermittent power sources like wind and solar. According to a December report, an upcoming multi-billion dollar data center in Texas intends to do just that.
The state’s largest mining companies have already been asked to halt operations on-demand by Governor Abbott if another energy crisis occurs.