DMG Blockchain, a Canadian startup is building a fully functioning substation, electrified by hydropower, near the Southern British Columbia town of Castlegar. Successful construction of this electricity infrastructure will positively affect the crypto mining industry of the company.
High Electricity Demands
The access to electricity is the most important part of the digital asset industry as it can make or break a cryptocurrency mining operation. The firms who want to make it big in the mining industry are willing to go to any extents to gain profits, in the shortest time they can. It is because of delays in mining operation even for a fraction of second causes loss of digital money.
In response to the electricity issue, several such firms are building local power grids with bespoke electrical substations as quickly as possible. DMG Blockchain is one such company which is building its own Infrastructure powered by Hydroelectricity. Steven Eliscu, the head of DMG’s corporate development said that building the substation costs millions of dollars and at the same time, requires the company to build its own access road that would drag the equipment needed to the site. The main goal is to make this substation power DMG’s expanded operations by the month of September in 2018. He told,
“At the end of August, we’ll go through a commissioning process where the utility will test everything as a completed substation and make sure that the town doesn’t blow up when we flip the switch.”
Other Electricity Infrastructure
There is a huge rush to set up shops of cheap power as early as possible due to which Quebec, rich in hydropower has seen many miners queue up for opening the mining operations that the provincial power utility has put a moratorium on recent applications and asked the energy board for guidance on the process. A spokesperson from FortisBC said,
“FortisBC has been approached by companies mining cryptocurrency over the last few years. These operations typically have significant electricity needs due to the amount of computer hardware employed. As a public utility operating in BC under the Utilities Commission Act, we have an obligation to serve customers in our service area, subject to certain conditions and restrictions, including crypto mining operations.”