New York making a hard stance on cryptocurrency for saving high electricity bills produced from cryptocurrency mining operations.
The state is ill-fame for its stiff attitude on cryptocurrency ever since the introduction of Bitlicence. Recently, though it struck a big indenture with a Bitcoin mining company called Coinmint who had made $165 million. A change has caused when the New York power authority decided electricity prices for those activities will cost more.
The previous month, Massena, a town located in upper New York join a deal with Coinmint. Since, that would see the crypto mining company take over a shutdown ore smelter with plans to create a “futuristic company.”
This business agreement was made to create over 150 jobs. This was the good news for the state and also for the other small towns in the upstate region of New York.
Coinmint was establishes as a cloud mining operation in the city. Cloud mining allows users to buy a share in the computational power to produce payback. This industry will list all the essential mining equipment and users can pay a respective amount to mine.
But, Bloomberg has described the New York Power Authority has committed that is not going to be pleasing to the town of Messana or Coinmint.
The authority consists of 36 municipal power authorities decided to raise the power rates for the cryptocurrency mining operations. The authority commission chair, John Rhodes speaking to a local news made the following comment:
“If we hadn’t acted, existing residential and commercial customers in upstate communities. It is serving by a municipal power authority would see sharp increases in their utility bills”.
The decision of the authority is comprehensible and it is taking various measures for the citizen to protect from the high electric bills. Meantime, it might affect the town economy as it is providing job opportunities for the people of that town.