Bitcoin

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Natural gas prices have plummeted, leaving <a href="https://ultramining.com/news/en/texas-residents-challenge-bitcoin-mining-industrys-impact-on-power-grid-and-communities/">Texas</a> oil-and-gas veterans searching for alternative revenue streams. In a daring move, some are turning to an even more volatile asset: Bitcoin. Chris Alfano, who leads 360 Mining, has found a way to convert unused natural gas into crypto wealth, according to <a href="https://www.livemint.com/technology/gadgets/amazon-great-indian-sale-2023-get-up-to-70-off-on-waffle-makers-11698747553376.html">livemint</a>. 
Alfano's company has set up a Bitcoin mining operation outside Fort Worth, <a href="https://ultramining.com/news/en/texas-residents-challenge-bitcoin-mining-industrys-impact-on-power-grid-and-communities/">Texas</a>. They power it using natural gas generated from their wells. The value proposition is striking. Alfano claims they can earn $10 or more from burning a thousand cubic feet of gas for mining, compared to selling it for as little as $1.50.&nbsp; 
This comes at a high cost. Setting up a gas-powered mine demands an investment of at least a million dollars. There's also the matter of Bitcoin's notorious price instability. Yet, for Alfano, the risk is worth it. He built his first gas-powered Bitcoin mine during the pandemic, seeing it as a practical way to minimize expenses, since power consumption is Bitcoin mining's largest cost.&nbsp; 
But it's not just about Alfano. Todd Hallmark, who oversees family-run Bob Hughes Oil Company, partnered with Alfano after pipeline transportation costs skyrocketed. Hallmark sees this as a way to diversify income streams. He's not alone. Despite skepticism, others in the oil-and-gas industry are considering Alfano's model as a potentially game-changing alternative. 
However, the operation is not without its hurdles. Alfano's first mining attempt was riddled with technical issues from unreliable generators to faulty cooling systems. Despite setbacks and <a href="https://ultramining.com/news/en/impending-bitcoin-halving-may-trigger-major-hashrate-decline-say-experts/">Bitcoin's price</a> volatility, he rebounded. Now, he uses these initial failures as a cautionary tale to prospective clients, touting the lessons learned.&nbsp; 
The traditional oil and gas sector veterans remain skeptical about the digital currency. They question the intrinsic value of a coin that no one can physically touch. Yet, some, like Sandy Pofahl, an industry veteran since the 1980s, are starting to consider it seriously. Pofahl finds Bitcoin's staying power, despite its ups and downs, as a compelling reason to explore the venture. 
In essence, Alfano and like-minded entrepreneurs are offering a new avenue for oil and gas producers hit hard by dropping natural gas prices. While laden with risks and skepticism, the intersection of traditional energy and cryptocurrency might just be the next frontier for Texas' energy sector.

Turning Gas Into Gold: Texas Oil Vets Eye Bitcoin Mining as the New Frontier

Ultramining_Eng

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