The Bitcoin mining industry in Texas has been hit hard by extreme weather conditions. The drop in temperatures has prevented mining centers from using enough electricity to achieve high hashrate levels.

Bitcoin mining slows in Texas due to power shortage

Bitcoin’s hash rate has dropped significantly due to a sudden freeze in Texas, forcing miners there to reduce activity to maintain the state’s power infrastructure.

According to a report by CoinMarketCap, the total hash rate of the Bitcoin network dropped by 34% from January 11 to January 15. The drop was from 629 EH/s on January 11 to about 415 EH/s on January 15. The hash rate partially rebounded to over 454 EH/s on January 16, when temperatures in Austin temporarily reached above freezing.

Generally speaking, computing power involves anywhere from 1,449 kWh to 72,000 GW of electricity supply per Bitcoin transaction. The Bitcoin network uses about 128 GWh to generate 900 Bitcoins per day.

As temperatures in Texas dropped to record lows last week, companies were forced to reduce electricity usage to accommodate the state's limited resources.

Marathon, Riot confirm reduced activity

Companies involved in the mining industry, such as Riot Platforms and Marathon Digital, acknowledged that they reduced their activities to assist the Texas power system and its residents during the cold snap.

The impact of the Texas freeze on the Bitcoin hash rate drop highlights the impact that severe weather can have on the Bitcoin mining industry.

Drop in Texas production could halt entire Bitcoin chain

Texas is one of the most Bitcoin-friendly states in the U.S. It also has about 29% of the U.S. Bitcoin hash rate. Many mining companies have relocated there after China cracked down on cryptocurrency mining.

The state passed the Texas Bitcoin Act in the House of Representatives on May 11. The bill was subsequently approved by the state Senate earlier on May 27. The state’s business laws recognize Bitcoin and other digital assets, making it a Bitcoin haven in the United States.

Texas is home to several Bitcoin mining companies, including Core Scientific, Bitdeer, Riot Platforms, and Marathon Digital. However, many networks have been offline and unable to mine over the past week due to severe weather conditions.

With production declining in Texas, the entire mining network could slow down, leading to a halt in activity. Nonetheless, better weather conditions in the coming week will be a key factor in resuming Bitcoin mining in the region. #比特币挖矿 #德克萨斯州