According to reports from media outlet Texas Public Radio, the Chinese mining giant Bitmain Technologies has reportedly suspended operations in the town of Rockdale. Bitmain started to build up its new facility at a former aluminum smelting factory last summer, but since the crypto economy downturn, the company’s operations at the Texas factory have allegedly paused.
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Bitmain Reportedly Halts Its Texas Mining Operations
It seems Bitmain has temporarily stopped operations at its Texas facility in the wake of cryptocurrency markets losing significant fiat value over the last few months. According to Texas Public Radio (TPR) and Milam county judge Steve Young, the Rockdale plant used to employ 15 individuals and now the operation is down to five employees manning the factory. Young says he isn’t too pleased that the mining business has paused and hopes the operation will continue. The county official emphasized that the Chinese company had “spent millions thus far to renovate the buildings” and he believes there are 7,000-8,000 mining units dispersed throughout the location.
“I’m really disappointed because we had advertised this, we had waited for this, we had wanted this and we had welcomed this,” Milam county judge Steve Young explained this Friday. “This was huge, we need some positive news here and we need some jobs here — We need a tax base here and this was a step in the right direction.”
The announcement comes after the South China Morning Post reported that Bitmain was in the midst of changing leadership roles. Moreover, the company’s mining operation Antpool was sponsoring the Houston Rockets about 40 miles west of College Station at the Toyota Center. At the time, Bitmain explained that choosing the Rockdale operation was due to certain factors in Texas like a strong economy, population growth, and friendly regulations. The Chinese company was also reportedly getting a tax abatement privileges as well. The abatement would give Bitmain and other technology firms who reside at the former aluminum smelter factory a 10-year tax break.
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