TL;DR Breakdown
- Fort Worth is the first city government in the United State to mine Bitcoin.
- The City’s Mayor expects the project to put the suburban town on the global map.
- The mining site is located in the city hall and is to run 24/7.
Fort Worth, one of Texas’s major cities, is the first municipality and government body in the United States to commence a Bitcoin mining operation. The initiative was authorized by the city council in a voting session on Tuesday, and it is one of several efforts the city’s leadership is taking to establish a crypto-friendly environment.
The project is to be executed in collaboration with the Texas Blockchain Council (TBC) – an association devoted to promoting the development of the blockchain community in Texas. The TBC will provide three Bitmain S9 mining computers, which will be managed by the city.
Aside from the financial benefits of mining bitcoin, Mattie Parker, the city’s mayor, believes the crypto project will bring about a degree of prominence to the United States’ 13th largest city.
” For Fort Worth, a lot of people don’t know who we are. We want to change that conversation, and we believe that tech innovation including cryptocurrency is the way we’re going to do that.” She said
The United States is quite an attractive site for Bitcoin mining.
Bitcoin, the premier cryptocurrency, was built on a proof-of-work model; thus it requires the constant, simultaneous running of highly sophisticated computers to mine new tokens and validate transactions, and these operations consume a lot of electricity.
According to a report by MoneySuperMarket in October 2021, it takes 1,173 KW to validate one Bitcoin transaction. Due to this high energy consumption and the absolute ban on cryptocurrency and its related activities in China, many private bitcoin miners have relocated to the U.S.
The Western world power is renowned for its support of cryptocurrency as well as its low electricity costs due to its renewable energy sources.
Fort Worth not bothered about mining expenses
The state of Texas, in particular, has ridiculously low energy prices due to its deregulated power infrastructure, which allows users a considerable deal of choice in selecting and switching energy providers.
Interestingly, in the case of Fort Worth, the city council anticipates the cost of mining to be covered by the tokens generated. The mining operations will be at the Information Technology Solutions Department Data Center at the City Hall.
They are to run constantly and will be hosted on a private server for security reasons. In addition, Bitcoin mining companies Rhodium Enterprises and Luxor Technologies have been contracted to serve as consultants on this project.
Source: https://www.cryptopolitan.com/fort-worth-launch-bitcoin-mining-project/