Bitcoin mining has been halted due to the forecast of increasing heat in Texas, US. Electricity consumption in Texas may increase to keep temperatures at mining farms high enough, which is expected to cut the state's supply of electricity. Because of this, most bitcoin mining firms have closed their operations.
Mining firms such as Riot Blockchain and Agro Blockchain in Texas, known as the hub of bitcoin mining, use many computing machines that consume more electricity. Bloomberg report quoted Lee Bratcher, president of the Texas Blockchain Association Told "In order to save electricity for the state's network, bitcoin mining load of more than 1,000 MW has been closed. This electricity can be used for retail and commercial use."
Texas has emerged as a bitcoin mining hub after the Chinese government imposed restrictions on all crypto-related activities last year. The main reason for banning crypto mining from China was the high consumption of electricity in it. Last year, Kazakhstan became the world's second largest center for bitcoin mining after the US. In Kazakhstan after China banned crypto mining last year Mining The number of people doing it is increasing. However, they have a large number of illegal miners. The government of Kazakhstan last month decided to increase the tax on electricity for crypto miners. Earlier, in some other countries like Iran, there has been a shortage of electricity due to crypto mining.
Authorities are taking action against illegal crypto mining centers due to the interruption in the supply of electricity to Kazakhstan. There is a shortage of electricity from these mining centers and this is also increasing the threat to economic security. Kazakhstan's Financial Monitoring Agency has raided and closed several such crypto mining centers. Another reason to check illegal crypto mining is to ensure that secretly mined crypto assets are not used for illegal activities that undermine Kazakhstan's economic stability.