Bitcoin miners are once again showing how they can play a vital role in the energy infrastructure as miners shut down or limit production to support the Texas ecosystem.
Texas faces severe freeze warnings amid winter storms in the Arctic region, triggering the biggest cold surge since the “Big Freeze” in February 2021. Temperatures will drop 25 to 35 degrees below normal from December 22nd to 24th, bringing dangerously cold temperatures. below freezing in Houston on December 23rd.
Under these conditions, the Texas grid must have enough capacity to meet the demand of homeowners looking to stay warm. Large flexible loads are essential to sustaining power in extreme weather and tight grid conditions.
State Bitcoin (BTC) miners offer this much-needed flexibility. according to Thanks to Steve Kinard, Director of Bitcoin Mining Analytics for the Texas Blockchain Council. In a press release he said:
“The Bitcoin mining industry is a major source of flexible load in Texas, and Texas is leading the country in developing a market environment conducive to ERCOT. [Electric Reliability Council of Texas] have this valuable tool at their disposal. ”
In response to this situation, on December 22, Riot Blockchain announced announced the closure of the Rockdale facility as a safety precaution.
Similarly, on December 23, Neil Galloway, Director of Mining Operations at Compass Mining, said: warned Users about impending service fluctuations in winter storms. On December 24th he Added That Texas site was offline except for TX1.
Core Scientific filed for Chapter 11 bankruptcy earlier this week, Said Operations will be curtailed during winter storms.
Genesis Digital Assets and Rhodium have voluntarily agreed to cut 99% of their operations, according to a Texas Blockchain Council press release. The press release added that other miners are monitoring the situation and are prepared to scale back operations if grid supply becomes tight. Demand above expectationsHowever, with temperatures expected to drop below freezing for two nights in a row, power companies are urgently urging consumers to save electricity.