BITCOIN

Bitcoin's 50% Surge Sparks Mining Frenzy; US Department of Energy Requests Energy Reports from Mining Companies

share
Bitcoin

The U.S. Department of Energy (DOE) is requesting crypto mining companies to report their energy consumption for the next six months, stating that the main goal is to understand and meet the electricity needs of miners.

U.S. Department of Energy Requests Mining Companies to Report Energy Consumption

The Energy Information Administration (EIA) under the U.S. Department of Energy (DOE) announced on the 31st that it will initiate a temporary investigation next week to measure the electricity consumption of local mining companies. These companies are required to provide detailed information on their energy usage.

The investigation was approved by the U.S. Office of Management and Budget on January 26, and the EIA issued an emergency request a few days ago, citing a nearly 50% increase in the price of Bitcoin over the past three months, which could lead to more mining activities and increased power consumption.

Bitcoin saw an increase of approximately 84% from October 11 last year to January 11 this year.

BTC/USDT Daily Chart | Source: OKX

EIA: Trying to Meet Miners' Power Demands

Joe DeCarolis, head of the EIA, stated:

We plan to continue analyzing and documenting the impact of U.S. crypto mining activities on energy. We will pay special attention to how the energy demand of crypto mining has evolved and identify high-growth geographic areas to quantify the data to meet the power needs of crypto mining.

Public comments will also be collected and considered by the EIA during this period.

In fact, not only due to the rise in Bitcoin, but also the frenzy of BRC-20 and Ordinals in the Bitcoin ecosystem may be even more critical for mining companies' revenue.

Bitcoin Mining: U.S. as the Largest Producer, Miners' Income Continues to Rise