Texas State Dominates in Bitcoin Mining, Hosts 28.5% of US’s Hashrate: Report
The U.S. state of Texas has become a hotbed for cryptocurrency mining, making up 28.50% of the hashrate in the U.S. as of July 2023.
According to data from Foundry, the largest mining pool in North America and the fifth-largest globally, Texas has positioned itself as the “crypto capital” in the U.S., as the country leads in terms of its share of the collective hashrate of the Bitcoin (BTC) network.
“Texas made up 8.43% of the hashrate in the U.S. as of the end of 2021, and that percentage has jumped to 28.50% as of July 27, 2023,” the mining pool said, per a CNBC report.
However, the data displayed is aggregated and the percentage of hashrate in Texas is even higher than what is reflected, notes Kevin Zhang, senior vice president of mining strategy at Foundry.
Miner-friendly states like Georgia saw a decrease in its share of the U.S. hashrate from 34.17% to 9.64% over the last two years, even though it offers competitive electricity pricing and renewable power sources like solar. The decline in hashrate was driven by recent growth in Texas mining operations, the report added.
The state of New York also saw a plunge in hashrate from 9.53% in 2021 to 8.75%. However, New Hampshire and Pennsylvania showed a significant spike in shares of the U.S. hashrate.
The report also highlighted that there has been an increase in negative pricing over the past decade. Researchers noted that the negative price surge accounts for more than 6% of all hours in 2022 throughout wholesale markets in the country. Further, this negative priced power could increase in Texas, which makes it ideal for Bitcoin miners.
Bitcoin mining engineer Brandon Arvanaghi, calls it a “win-win” situation.
“All you have to do is pay the miners slightly more than what
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