White Rock Management, a Swiss-based cryptocurrency mining company, said it will expand its operations to the United States, starting with Texas.
In an announcement Tuesday, White Rock said it will partner with Natural Gas Onsite Neutralization, or NGON, a company that captures natural gas that would otherwise be burned and converts it into energy for use in the firm’s Bitcoin (BTC) mining operations. White Rock said it will operate from NGON facilities in the Brazos Valley region, mining BTC using “environmentally responsible” methods.
According to White Rock CEO Andy Long, The move to Texas was just the first in the firm’s plans to expand its BTC mining operations into areas capable of providing power from natural gas outside the reach of the state’s power grid. The company began mining cryptocurrencies at facilities in Sweden in November 2021 and reported that its US operations will have an initial capacity of 3 megawatts, with the goal of bringing the firm’s total hashrate above 1.6 EH/s.
The recent market crash – the price of Bitcoin is down more than 28% in the last 30 days – may be affecting the profits of cryptocurrency miners. Cointelegraph reported on June 10 that the “gross” costs for miners in North America were approximately $22,000 per Bitcoin, with additional costs that could push the total to more than $30,000. Many mining companies in the region, including Bitfarms, have reported selling some of their BTC holdings amid the bear market.
So What if the Revenue From Bitcoin Mining is Low?
“Bitcoin miners are experiencing record-low Revenue. Miners earn Revenue from two sources..”
by @CryptoAlliance_Read Morehttps://t.co/jiIQVzrnpB
— CryptoQuant.com (@cryptoquant_com) June 27, 2022
It’s unclear how the recent volatility may affect White Rock’s operations in the Lone Star State. Before the market crash in May, Argo Blockchain said it was planning to set up mining operations in Texas’s Dickens County nearly a year after it began building the 200-megawatt data center. In April, the city of Fort Worth also launched a pilot program to mine BTC using three pieces of equipment in the city hall building.
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