According to PANews, the Bitcoin mining industry in Kentucky, which once accounted for 20% of the United States' mining power, is experiencing a significant downturn. Numerous mining operations have ceased, with some operators accused of disappearing after failing to pay debts, resulting in local miners losing their jobs. A notable example is the Mohawk Energy project, involving state legislator Brandon Smith, which has not fulfilled its employment promises and is now embroiled in legal disputes.
The region is now exploring a transition to AI data center construction. Economic development organizations highlight the area's infrastructure and labor advantages, noting that the number of welders is twice the national average. However, environmentalists express concerns about the potential pollution risks associated with high-energy facilities. In March 2025, the Governor of Kentucky signed the Bitcoin Rights Act, ensuring the rights to use digital assets. Despite some regulatory easing, the act is seen as supportive of the cryptocurrency mining industry. The industry is currently focused on whether Bitcoin mining will recover by leveraging the AI transformation opportunity.
