Bitcoin mining is an industry that seeks out cheap energy sources that would often go to waste. And in some parts of North America, natural gas is becoming pretty much exactly that.
The Oil Industry Produces More Gas Than It Can Handle
Natural gas prices in North America have tanked. As an unavoidable by-product of the oil drilling industry, producers have more than they know what to do with. Transporting it for sale is often not economically viable, so many oil companies just burn (flare) or vent it into the atmosphere.
Thankfully, at least some places in America have limits on how many gas suppliers can pointlessly burn or release. This has lead to natural gas selling for less than nothing in some parts of Texas, as haulage firms are paid to take it away. The alternative is for producers to shut down wells, which is even more costly.
“Much of the time Bitcoin mining happens with super cheap electricity, in many cases utilizing energy that would have otherwise gone to waste,” commented eToro market analyst, Mati…