Red – Bitcoin (BTC) mining in Texas is suffering from scorching temperatures that are boosting the state’s electricity consumption while green energy production struggles to keep up.
Extreme temperature for bitcoin miners
Cryptocurrency winter is already creating problems for bitcoin miners. The latter are now victims of the scorching temperatures that are suffocating sector players in Texas. Due to the fact that in July the temperature on the thermometer exceeds 38 ° Celsius, the massive use of air conditioners, which are especially energy-intensive, puts a strain on the electricity grid.
In anticipation of “record” power demand, the Electricity Reliability Board of Texas (ERCOT) issued a warning on July 10. He then asked residents and state-owned enterprises to reduce their consumption.
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Balance: the paradox of renewable energy
Electricity demand could reach a record high of 79,615 megawatts (MW), according to ERCOT. It has reached a threshold where demand is likely to exceed available supply. This imbalance is partly due to the growing use of wind and solar energy in the state.
Increasing production from these renewables lowered the cost of energy in Texas in June. Thus, the state has increased its attractiveness in the eyes of business leaders looking for a place where electricity is relatively cheap. Falling electricity prices also motivate the implementation of any development plans for existing companies.
However, in July there was a drop in wind power, which “produced much less than historically during this period.”
Disabled ASIC servers in Texas
Thus, in the literal sense of the word, the voltage in the Texas electrical network reached its peak. Miners like Core Scientific have decided to turn off their cryptocurrency mining machines.
Back on July 11, Core Scientific tweeted that the company was suspending “until further notice” its ASIC servers in the state. They make up “less than 15% of our presence.” The decision is said to “make life easier for the people of Texas.”
This season, miners will face two extreme temperatures: cold weather in the markets, which keeps the price of bitcoin near $20,000, and heat, which dramatically increases demand for electricity. Then Texas or Iran are forced to make decisions about punishing minors.
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