Until June 2021, most Bitcoin mining was in China. Then the country banned crypto mining, at least for a time, citing their power, among other reasons. The U. S. quickly became the industry’s new global leader in crypto mining. The NYT published an interesting report yesterday on the energy needs of U.S. crypto mining companies. U.S. crypto miners consume more than 3,900 megawatts of electricity or as much as all New York City residences.
Altogether, the U.S. crypto mining ventures consume more than 3,900 megawatts of electricity, nearly the same amount as three million households. In some areas, this has led prices to surge. In Texas, where 10 of the 34 mines are connected to the state’s grid, the increased demand has caused electric bills for power customers to rise nearly 5 percent, or $1.8 billion per year, according to a simulation performed for The Times by the energy research and consulting firm Wood Mackenzie.
The additional power use across the country also causes as much carbon pollution as adding 3.5 million gas-powered cars to America’s roads, according to an analysis by WattTime. The analysis found that the 34 mines’ power use was causing nearly 16.4 million tons of carbon pollution each year. Crypto miners have become a boon for the fossil fuel industry: WattTime found that coal and natural gas plants kick in to meet 85 percent of the demand these Bitcoin operations add to their grids.
