State utility regulators have greenlit a 10-year power contract for Bitiki's $25 million cryptomining facility in Union County. It's located on a former coal mine, giving the land new purpose. 
Bitiki plans to invest $25 million in the Waverly site. Consequently, five jobs are expected to be created. The deal also allows Bitiki access to 13 megawatts of <a href="https://ultramining.com/news/en/crypto-mining-with-flare-gas-a-green-solution-or-environmental-setback/" rel="noopener noreferrer nofollow">electricity</a>, enough for tens of thousands of homes. 
For the first five years, the company will receive energy discounts. Despite the discount, KU anticipates nearly $10 million in revenue over the contract’s term. Thus, Bitiki will contribute to covering some utility costs. 
Opponents, however, express concerns. They argue that cryptominers use enormous energy but provide limited local economic benefit. Thom Cmar of Earthjustice emphasized there's no proof Bitiki needed the discount, leading to unnecessary $4 million savings. 
To mitigate risks, Kentucky Utilities included a $1.275 million surety bond against default. This acts as security and shows a measure of foresight. 
Bitiki is the first of three similar contracts under review. The success of the facility might attract more crypto companies to the state. However, the transient nature of such businesses and the volatility of cryptocurrency markets bring uncertainties to the table. The future will reveal whether the deal proves beneficial for Kentucky's economy or not. 
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Kentucky Approves $25M Cryptomining Facility

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