Bitcoin Mining Is Getting Bigger (and Bigger)

Power prices are affecting where the power players run their mines, and bitcoin miners are moving to where the power is cheapest (and regulations are friendly). Bitcoin mining consumes so much energy that this Morgan Stanley report estimates it will exceed that of an actual country. For the full scoop, read this well-written article (which includes a comparison to bitcoin mining energy consumption compared to energy consumption by electric cars) by Monica Savaglia on WealthDaily.com:

From Bitcoin.com: Small Washington Town is Becoming a Bitcoin Mining Epicenter

Bitcoin.com's Cindy Wang picks up on the story of Wenatchee's bitcoin mining activity. From the article:

"'We’ve come from just a few people out there who have been knocking on the door to all of a sudden to people who are banging on the door pretty loudly.'

Bitcoin mining is known to be energy-consuming. But miners here appear not to have this problem. Power is extremely cheap for the town— only 2 to 3 cents per kilowatt hour."

CNBC Visits Salcido Enterprises to Report on Bitcoin Mining in Wenatchee

CNBC was here January 11, 2018 to interview Malachi Salcido of Salcido Enterprises, Ron Cridlebaugh from the Port of Douglas County, and Steve Wright of Chelan County PUD. We posted videos in earlier posts, now here's a behind-the-scenes look at what happens during a nationally-broadcast interview:

From CNBC: Cryptocurrency mining puts electrical grid 'to the test'

Michelle Caruso-Cabrera interviews Port of Douglas economic development Ron Cridlebaugh on the impacts of Bitcoin mining in Douglas County, WA. From the article:

  • "Our infrastructure is actually being put to the test. We're full," said Ron Cridlebaugh, the Port of Douglas County economic development manager.
  • Cryptocurrencies such as bitcoin and ripple have skyrocketed in value recently. Many people have been trying to get in on the action.
  • Mining digital currencies requires a lot of electrical power as computers process gargantuan amounts of data.
 
 

From CNBC: Wenatchee Washington and the Bitcoin Gold Rush

Michelle Caruso-Cabrera reports for CNBC on why a small town hours from the nearest major city has become such a hot attraction for bitcoin miners. From the article:

"Wenatchee, Washington is home to a dozen of the largest bitcoin and cryptocurrency miners in the country. And the head of the local power utility, Steve Wright, says another 75 have inquired about coming here since the price of bitcoin surged in December."

 
 

Bank Of England Drops Plans For Its Own Cryptocurrency

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Via CCN, Lester Coleman writes on the Bank of England's decision not to launch its own cryptocurrency. From the article:

"The Bank of England has decided it will not launch its own cryptocurrency due to its possible impact on the financial system, according to FT Advisor. The bank began researching cryptocurrencies in 2015 and was considering launching its own cryptocurrency.

The bank continues to research cryptocurrencies, but it has decided that having its own such currency could have negative ramifications on traditional banks. The bank believes that consumers would choose its cryptocurrency over paper money and would stop using commercial bank accounts as well as paper money."

For more information on the bank's decision and perspective on cryptocurrencies, read the full article:

 

Follow developments with our sister company The Salcido Connection