Immediately after passing a resolution that it would explore Bitcoin mining, the City of Fort Worth took action — as they say, “Don’t mess with Texas”.
Led by Mayor Mattie Taylor, a small Bitcoin mining farm has now been built in City Hall to pilot the initiative and three mining machines are now running 24 hours per day, 7 days per week as of April 26.
If the initiative proves profitable, the venture will likely be expanded in co-operation with Luxor Technologies — a leading Bitcoin mining firm that allows miners to pool their technology resources to maximize return on time (and energy) invested.
What is Bitcoin mining?
Bitcoin mining is the process that sustains the Bitcoin network of computers that underpin the cryptocurrency, and through which new Bitcoin are issued as it edges closer to issuing the finite issue of 21 million Bitcoin that will ever exist.
The Bitcoin network is made up of thousands of similar mining rigs as now exist in Fort Worth, and with these being distributed around the world with no single owner, person or country in control, Bitcoin is entirely decentralized.
Each of the mining computers being run in City Hall are estimated to consume the same amount of energy as a domestic vacuum cleaner. The costs of this electricity will be offset by the new Bitcoin that each rig is estimated to generate from the network in return for supporting the network and as ‘block rewards’ as the computers are awarded new Bitcoin in return for their processing power.
Benefits for Fort Worth
Over time the mining computers run within city hall should be self-sustaining and may even start to generate money for the city council in the form of Bitcoin which will be added to the city’s balance sheet.
Mayor Taylor views this as a first step that could lead to more mining and an enhanced reputation for Fort Worth as a city of innovation at the forefront of technology and cryptocurrency. She commented:
“We’re the fastest growing city in the country. There’s so much excitement around North Texas and Fort Worth, in particular. To really keep that energy going, we have to push ourselves differently, and we think cryptocurrency is a huge part of our future economy”
Fort Worth joins Miami as a Bitcoin-friendly city
Forth Worth is capitalizing on the creation of the Texas Blockchain Council which has been established to co-ordinate and promote blockchain and cryptocurrency initiatives in the state. In June 2021, Governor Greg Abbott declared Texas a Bitcoin-friendly state.
Fort Worth now joins a number of other U.S. cities that are embracing the possibilities presented by Bitcoin and cryptocurrency, including Miami, Florida.
In 2021 Mayor Francis Suarez of Miami gave his commitment to adopting Bitcoin more widely for the city’s benefit. He announced that citizens would be able to pay for services using Bitcoin and that he was investigating using Bitcoin as an investment for some of the city’s treasury to protect it against inflation.
Suarez also committed to accepting his own pay in Bitcoin and Florida’s Governor Ron DeSantis has recently announced that the state will be allowing some government services to be paid for using Bitcoin too.
Cities and states are continuing to choose their own stance towards Bitcoin and cryptocurrency as the Fed, the SEC and various other government bodies flip-flop and dither rather than taking a definitive and decisive position on them.
Forth Worth has claimed its own first — by being the first U.S. city to mine Bitcoin. Such moves of bold innovation will hopefully serve the city and its residents well.
If you’re already mining your own bitcoin, I’d love to know how you’re doing it - please reach out by email and give me some clues, or drop a note in the comments section below!
In the meantime, I’ll keep buying more Bitcoin periodically - if you want to do the same but aren’t sure how, you can follow the same process as I use by checking out the guide below: