Why Are Cryptocurrency Miners Like Riot Blockchain, Marathon Digital Holdings Moving?

Since Friday morning, cryptocurrency miners such as Marathon Digital Holdings Inc. MARA and Blockchain Riot Inc RIOT rose 16% and 5.4% respectively, moving in a positive direction away from recent lows.

New York Legislation Update: New York lawmakers are now waiting Governor Kathy Hochul decision to sign or veto the two-year moratorium on crypto-mining operations using proof-of-work authentication methods unless 100% renewable energy is used.

Due to recent legislation and soaring energy prices, cryptocurrency miners are relocating to crypto-friendly states, have low energy costs, and offer tax incentives.

Moving to Texas: On July 6, Riot Blockchain announced the transition of nearly 5,700 offline S19 miners from its CoinMint facility in Massena, New York, to its Whinstone facility in Texas. According to Riot’s press release, relocating miners should reduce its production costs through lower energy costs and eliminating all third-party hosting fees.

Jason LesRiot Blockchain CEO said on Wednesday, “We are pleased to report that during the month of June, we achieved full operation of all 23,000 S19-series miners in the first immersion-cooled building at our Whinstone facility. , building F.”

See also: Why Bitcoin and Ethereum’s Riot Blockchain Surged 27% in the Last Week

Riot also reported that it is moving ahead with plans for a 400 megawatt infrastructure expansion at the Whinstone facility in Rockdale, Texas, which would increase its capacity to 750 megawatts, the largest crypto mining facility in the states. -United.

Fred ThielCEO and President of Marathon Digital, said on Thursday, “In the second quarter, we continued to overcome several operational hurdles as we made progress in installing miners in Texas in preparation for power-up.”

According to Marathon Digital, the Compute North wind farm in West Texas expects to have 21,000 miners installed in July 2022 and 28,000 miners expected to be installed in August 2022. Not to mention that Compute North’s installation is expected to house 68,000 miners with a hash rate of 6.8 exahash per second, as reported by Marathon Digital.

See also: What’s Happening with the Digital Bitcoin Stock Marathon?

Second trimester expectations: According to Riot Blockchain, in June 2022, it increased the production of Bitcoin BTC/USD by 73% or 421 Bitcoin, compared to June 2021.

Riot Blockchain also announced that it holds 6,654 Bitcoins with a hash rate capacity of 4.4 exahashes per second and 42,455 deployed miners.

Due to a severe storm in Hardin, Montana on June 11, some 30,000 miners were disconnected without power, as reported by Marathon Digital.

Energy provider Compute North is still awaiting confirmation from the federal agency of its tax-exempt status, Marathon Digital said.

Marathon Digital also announced that it now has 29,640 miners ready to be powered with a hash rate of 2.9 exahashes per second at its Compute North facility in West Texas.

To advance: Riot Blockchain expects hash rate capacity to increase to 12.5 exahash per second by January 2023 assuming 115,450 miners have been deployed, as stated in Riot’s press release.

Riot also announced that as it rolls out miners in stages, it expects miner capacity to increase to 48,779 with a hash rate capacity of 5.0 exahash per second.

According to Marathon Digital, it expects 199,000 miners producing 23.3 exahash per second to be installed by 2023.

Additionally, Marathon Digital has indicated that it expects its mining operations to be 100% carbon neutral by the end of 2022.

Photo: Yev_1234 via Shutterstock

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