What’s Going On?
In a recent twist that would make even the most seasoned crypto enthusiast raise an eyebrow, Bit Digital, a leading player in the cryptocurrency mining industry, has found itself in a bit of a pickle. Two of its hosting partners have effectively switched off more than 4,800 mining rigs, all thanks to a one-two punch of power disruption. Cue the dramatic music!
Where the Sparks Flew
The trouble began in Niagara Falls, where a substation took a hit from what can only be described as an unfortunate mix of “explosion and subsequent fire.” This lovely mishap forced Blockfusion USA to put 2,515 Bitcoin miners and 710 Ethereum miners to sleep. Over in North Tonawanda, another power cut left 1,580 crypto miners stranded, courtesy of a similar snafu at Digihost. Talk about a rough day at the office!
No Miners Were Harmed… This Time
Interestingly enough, despite the chaos, Bit Digital assured everyone that none of the miners were directly harmed – just the poor substation that’s now on an extended vacation. The whole fiasco seems to stem from “faulty equipment owned by the power utility.” On the bright side, Bit Digital plans to chase down some reimbursement for the loss in revenue, because who doesn’t love a good comeback story?
Blockfusion’s Power Play
In a desperate bid to restore the status quo, Blockfusion has pledged to team up with insurers and the utility company to get the wheels turning again. They’re hoping to flip the switch back on in a few weeks, but with power outages being notoriously unpredictable, they’ve made no guarantees. It’s like waiting for your internet to come back after a storm – you know it’s bound to return…eventually.
Bit Digital’s Status Amidst the Chaos
For those keeping score, Bit Digital operates across six locations in the United States, with three in New York and others sprinkled in Texas, Nebraska, and Georgia. However, with nearly 4,805 rigs now offline, their operational hash rate has plummeted by 46.8%. Ouch! And if that weren’t enough, the firm has seen its stock take a hit – down more than 6%, settling at $1.59 at the time of this writing. Maybe it’s time for them to invest in some bolt-proof substations?
The Green Side of Mining
In the midst of this drama, Bit Digital has been making strides towards a greener future, reporting that a whopping 67% of its energy for mining comes from renewable sources. So, while they might be down now, it seems they’re still eager to show that cryptocurrency can be eco-friendly. Fingers crossed their power woes don’t extinguish those greener ambitions!
