Texas: The New Bitcoin Mining Capital of The World

Over the course of just a few months, the center of the Bitcoin mining universe has shifted dramatically. After China cracked down on the usage and mining of cryptocurrencies, the global leader in mining is now the United States, with Texas quickly becoming its capital.

While much of the world continues to mine Bitcoin and other cryptocurrencies, Texas now offers a very friendly environment for companies looking to either relocate, expand operations, or designate corporate headquarters.

Because of this, and accommodative tax rates, The Lone Star state is now on course to become the world’s largest miner of Bitcoin; and Texas-based operations could soon dwarf those of all other foreign nations, with its total hashrate becoming greater than the entirety of the rest of the US.

Last summer, Texas Governor Greg Abbott tweeted, “It’s happening. Texas will be the crypto-leader.”

And in October, Texas Senator Ted Cruz said, in regard to solar and wind energy production in the state, “The beauty of Bitcoin, is that you can derive value from those renewables that would be impossible otherwise.”

Cruz, it is understood, recently disclosed his purchase of up to $50,000 in Bitcoin on the recent dip.

Texas currently accounts for up to 7% to 8% of global hashrate. But with a friendly mining environment and government backing, it could soon grow much larger.

In fact, the state could soon be responsible for up to 25% of the global Bitcoin hashrate.

The Texas Oil Boom is Being Replaced by The Texas Crypto Boom

Just north of Austin, in the small town of Rockdale Texas, an old Alcoa smelting site has transformed into a crypto mining powerhouse. Operations in the town, and surrounding areas have reached an astonishing level.

Already, some of the largest mines are located there, operated by Riot Blockchain (NASDAQ: RIOT), Rhodium Enterprises (planning a $100 million IPO), and Bitdeer (upcoming SPAC merger valued at $4 billion).

But Rockdale is not alone.

Out in West Texas, Compute North is hosting 100,000 mining rigs for Marathon Digital Holdings (NASDAQ: MARA). HODL Ranch (private) has a 150-acre mining campus and Argo Blockchain (OTC: ARBKF) is building a data center with potential capacity of 400MW.

In North Texas, outside of Dallas, Core Scientific (NASDAQ: CORZ) is planning a 300MW site, with eventual capacity of up to 800MWh.

Headquartered in East Texas, ISW Holdings (OTC: ISWH) operates a dual income stream of both cryptocurrency mining and mine hosting. The company is currently expanding its BlockQuarry to 200MW, with plans to eventually hit 500MW, perhaps more.

Within two years, Texas could reach 3,000 to 4,000 MW, with some estimates as high as 5,000MW.

At 4,000 MW, The Lone Star State would be responsible for 25% of the world’s Bitcoin mining. At this level, it’s expected the US would control half of the world’s Bitcoin hashrate.

To say Texas is becoming the Bitcoin mining center of the universe is an understatement.

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Source: https://fortune.com/2022/02/10/texas-world-capital-bitcoin-mining-companies/