Crypto Miners Quietly Buying Up Aging Coal/Natural Gas Plants

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Richard S.
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Post by Richard S. » Sun. Aug. 15, 2021 9:29 pm

If you haven't seen this in the news yet you certainly will. Crypto mining is a key part of crypto currency where computers are used to solve complex mathematical problems. It's very energy intensive process but the reward is new currency, you are effectively minting currency. Since they need cheap and reliable power they are turning to wholly purchasing underutilized coal and gas power plants. Why buy the power if you can just make it yourself?

Not only are they reducing the cost of the power by owning the power plant outright they will increase the efficiency of producing it. There is nothing that comes close to the cost of power produced from coal and gas when those plants are running 24/7 at full capacity. They will also be greatly reducing the loss of power during transmission since the crypto rigs will be nearby.


https://www.powermag.com/group-buys-pennsylvania- ... in-mining/

A digital mining company has an agreement to purchase a second power plant in Pennsylvania, as the group increases its coal refuse reclamation operations in the state to provide energy for its bitcoin mining operations.

Stronghold Digital Mining, a bitcoin (BTC) miner headquartered in Kennerdell, Pennsylvania, on Aug. 3 said its purchase of the Panther Creek Plant, located on 33 acres in Nesquehoning, in Carbon County, adds 80 MW of generation capacity to its portfolio, which also includes the 85-MW Scrubgrass plant. Scrubgrass is located on 650 acres in Scrubgrass Township, in Venango County.
https://grist.org/technology/bitcoin-greenidge-se ... ocurrency/

But when Greenidge reopened in 2017, there wasn’t any more demand than there had been when it shut down. By 2019, the plant was no longer producing power for the public at all. In an attempt to claw back the tens of millions that Atlas invested to convert the plant to natural gas, Greenidge turned to mining Bitcoin. By March 2020, the plant was reportedly using over 14 megawatts of power, enough for roughly 9,000 homes, to mine around $50,000 worth of Bitcoin per day. As of this writing, that same amount of Bitcoin is worth about $300,000. The plant is now one of the largest cryptocurrency mines in the country, and it’s angling to get even bigger.
It also appears the nuclear industry will be positioning themselves to do the same thing.
https://www.inquirer.com/business/cryptocurrency- ... 10806.html

The owners of several nuclear power plants, including two in Pennsylvania, have formed ventures with cryptocurrency companies to provide the electricity needed to run computer centers that “mine” bitcoin. Since nuclear energy does not emit greenhouse gases, the project’s investors say, the zero-carbon bitcoin would address climate concerns that have tarnished the energy-intensive cryptocurrency industry.
Meanwhile the consumer will be paying for more expensive power those plants could be supplying....

 
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Post by grumpy » Sun. Aug. 15, 2021 11:06 pm

It is the future, no ???

ETA.. great post..

 
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Hambden Bob
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Post by Hambden Bob » Tue. Aug. 17, 2021 6:31 am

As I Live & Breathe... I Am Sooo Glad That I Come From An Age When "Crypto" Meant Something Completely Different...


 
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Post by freetown fred » Tue. Aug. 17, 2021 8:11 am

Don't ya mean KRYPTON Bob???????????????????????? LOL

 
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Rob R.
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Post by Rob R. » Tue. Aug. 17, 2021 8:17 am

One of the largest Crypto mining sites is in Massena NY in the old Alcoa East aluminum smelting plant. The site has huge power capacity.

 
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CoalHeat
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Post by CoalHeat » Wed. Aug. 18, 2021 6:29 pm

Been trying to understand this for a while now, I admit I have not put much effort into it. I still don't get it.


 
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Post by warminmn » Wed. Aug. 18, 2021 6:50 pm

I really need to get my Spam currency going. Might sell more trucks (diesel and gas only) so Spam dealers can haul their currency. If the value drops you could still eat it. Its a win win unless your a pig....

 
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Richard S.
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Post by Richard S. » Wed. Aug. 18, 2021 7:03 pm

Since it's digital currency you can make an infinite amount of copies of the currency, it would be like being able to print as many $100 bills as you wanted. The miners are verifying transactions to insure it is not a counterfeited copy. Verification requires a significant amount of processing power. The reward for doing this in newly minted currency.

 
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CoalHeat
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Post by CoalHeat » Wed. Aug. 18, 2021 9:29 pm

I guess I should finally read up on this! But I do like W's idea of Spam currency.

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