Bitcoin Miners in New York Can Now Be Charged Extra for Electricity

Bitcoin Miners Can Now Be Charged Extra for Electricity, New York Power Authorities Say

The New York state Public Service Commission has ruled that power companies can charge higher rates to cryptocurrency mining operations, which have moved into the state’s north to take advantage of low-cost hydropower.

New York Power Authority Bitcoin Miners

The ruling, reported by industry news site Utility Dive, was announced on Thursday. The New York Public Service Commission said the decision was needed “to prevent local electricity prices for existing residential and business customers from skyrocketing.” According to the commission, cryptocurrency mining operations can use “thousands of times” more than an average residential customer, and in some cases account for 33 percent of municipal utilities’ total demand, without commensurate local economic benefits.

Cryptocurrency mining consumes huge amounts of electricity to power servers which solve complex math equations, recently raising environmental concerns. This “proof of work” process is part of the security structure of digital currencies like Bitcoin.

The New York decision came as one of the affected towns, Plattsburgh temporarily banned new Bitcoin mining operations. Plattsburgh residents had seen their electric bills surge as rising total demand forced the purchase of more expensive, non-hydropower electricity.

New York Bitcoin Miners Can Now Be Charged Extra for Electricity

Related articles

microsoft adds bitcoin payment option

Microsoft Adds Bitcoin Payment Option

Computer Tech Giant Microsoft Started accepting bitcoin by adding bitcoin payment option to its add funds feature. If уоu аrе a person whо uѕеѕ bitcoin уоu knоw it’s nоt аlwауѕ easy tо find places whеrе уоu саn uѕе thе digital currency. Thаt iѕ аbоut tо сhаngе whеn it соmеѕ tо Microsoft content. Starting Thursday in […]

Blockchain Launches Bitcoin.com

Bitcoin wallet аnd block explorer provider Blockchain hаѕ officially launched itѕ Bitcoin.com website today, giving visitors a learning portal tо thе basics оf thе digital currency. Previously, thе site wаѕ uѕеd bу fellow consumer wallet provider Coinbase аѕ a customer onboarding tool. However, Blockchain announced itѕ 5-year deal tо manage thе domain nаmе earlier thiѕ […]

Leave a Reply

Your email address will not be published. Required fields are marked *

*