Crypto Mining Company in NY Gets Creative Amid Soaring Power Rates
DPW Holdings, Inc has announced that it will be utilizing power from the Valatie Falls hydroelectric facility that it acquired in March for its crypto mining ventures. The dam, which is set to start operations in the fourth quarter of the year marks a major step by the company towards obtaining sustainable energy as cryptocurrency market conditions become more challenging.
DPW Holdings’ CEO Milton “Todd” Ault, had this to say about the company’s new project in a prepared company statement.
“Our power solution engineers at Coolisys Technologies, Inc. worked closely with our cryptocurrency mining engineers and with Valatie Falls Hydro, LLC’s hydroelectric engineers to upgrade and retrofit the Valatie Falls dam for this exciting new phase of its long-lived operation. We look forward to bringing this innovative new facility fully on-line during the fourth quarter of 2018.”
According to the firm, the facility will enable it to adopt a mining model in which electricity is the biggest operation factor. The move to acquire the decommissioned dam will be instrumental in overcoming high-cost energy challenges that the crypto mining industry is currently experiencing, some specific to the state of New York.
Energy Crypto Mining Legislations
Local administrations in the United States have been struggling to deal with cryptocurrency establishments that hog on energy resources, triggering a flurry of new legislation. The State of New York, for example, recently allowed Upstate Municipal authorities to increase electricity rates for crypto mining farms, and other energy-intensive businesses.
This and related situations are pushing cryptocurrency mining companies such as DPW Holdings to seek independent power sources. The New York tariff legislation was passed following a sharp increase in demand for greater power provision in the area, mainly driven by cryptocurrency mining enterprises. Residents in Plattsburgh, for example, saw a substantial electricity bill spike after two establishments started operations there.
Municipalities in the zone have already started to implement new rate structures, especially targeting high consumption users. This is with an aim to protect ordinary consumers from high energy consumption tariffs.
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ABOUT THE AUTHOR
ABOUT THE AUTHOR
Elizabeth Gail is crypto-enthusiast and a blogger. Her specialties include cryptocurrency news and analysis. When not writing about crypto, she’s out taking part in humanitarian endeavors across the world. You can reach out and engage with her on Twitter and Google Plus.