By Alicia Maher
Bitcoin mining is one of the core aspects of cryptocurrency and partly the reason the flagship crypto is in circulation. However, the increased complaints about the energy-intensiveness of crypto mining has prompted mining firms to ditch non-renewable energies for green energy. The energy-intensiveness is one of the reasons China prohibited Bitcoin mining in June, last year.
The widespread call to adopt renewable energy to sustain mining has saved the Mechanicville Hydroelectric Plant in the United States from been disassembled. Dubbed the oldest hydroelectric station in the country, the station was on the verge of destruction, but the owners decided to keep it running, thanks to Bitcoin.
The Mechanicville Is Into Bitcoin Mining
The Mechanicville power plant is a hydroelectric station constructed in 1887 and is located in New York precisely. Initially, the power plant was producing electricity for the National Grid. It had signed a 40-year MoU with Mechanicville to buy power from it.
However, the commitment was renounced in 1993, and since then, the power plant has remained dormant and inoperative. Albany Engineering Corporation became the owners of the plant after ten years of litigation.
With the Mechanicville plant having a new owner and operating fully, a series of ideas started pouring in from all quarters on what to do with the new plant since the original machinery it uses were too outdated to supply energy to power grids. Although they thought of using the power to charge EVs, they decided to convert it into BTC mining to the surprise of everyone at last.
“Instead of dismantling it, the owners turned to the only thing that would keep it profitable and running Bitcoin,” says the Times Union. The C.E.O. of AEC Jim Besha, disclosed that the energy station is perfect for BTC mining, as the corporation will pocket more cash with it than selling the electricity to the power Grid.
Besha said that it was the best for mining because the energy is renewable. Aside from the profitability aspect, BTC mining is the only thing flexible enough to accommodate the power it produces. Sadly, the Mechanicville owner prefers to convert the units of BTC mined every week to cash instead of holding it. According to reports, he’s skeptical of BTC as a potential long-term investment.
BTC Remains In The Support Zone
Besha skepticism to see BTC as a long-term investment may be due to the market correction. The cryptocurrency market has been correcting since late November 2021, with BTC hitting a record daily low of $39k. Although consolidating between $40k and $42k, BTC is $27k away from hitting its A.T.H. of $69k.