Coinmint which is a cloud mining company recently bid for an abandoned smelter in New York. It won the bid on January 30. In addition to that, it was able to get access to subsidized power to the count of 15 MW.
For the cloud mining company, this is a great situation to be in. Not only it is able to get subsidized power but also it is able to operate in the United States with full legal approvals. Moreover, it would be able to use the talent pool of United States in order to run its mining operation.
On the other hand, for the city of Massena which is the nearest town to the smelter, this would mean additional investment and also around 150+ jobs. Moreover, the company would be investing around $ 165 million into the smelter in order to create a mining operation. With the help of this mining operation, the company would be one of the very few that has the hardware in the United States to give on rent to its customers.
On the other hand, when you look at the companies producing renewable power in Europe, they are not ready to supply power to the mining operations as they believe this is not a sustainable business model.
On the other hand, US have already drafted a law that the excess power can be supplied to the mining operations. In contrary to this, countries like China are trying to cope the power supply to the mining operations. China is trying to shut down the mining operations running in the country. China is one of the most dominant countries when it comes to blockchain-based mining operations.
With the local authorities supporting the cloud mining company, it seems like a new beginning for the cloud mining industry. With the allure of more and more jobs, more and more cities would actually be opening up for such investments. Also, this would mean that the cloud mining companies would not be having any kind of problem in accessing the infrastructure which is needed to set up their hardware.
Also, with increased interest by the governments as well as authorities in blockchain technology, the opposition to such bids would actually decrease. There are plenty of underutilized infrastructures in the United States as well as other developed countries which can be utilized for cloud mining operations. This is the reason why this sector can expand exponentially in the future.